Moore Kingston Smith advises recruitment consultancy on employee ownership transition
Moore Kingston Smith recently advised an established recruitment consultancy on the sale of a majority stake in the business to an employee ownership trust (EOT) for the benefit of its employees.
The Essex based firm is a trusted healthcare recruiter with a 100-strong consultant team. It works with medical providers to place doctors, nurses and other specialised professionals in both the NHS and private healthcare.
Having dedicated themselves to the business for over 20 years, the founders decided to take a step back. Their priority was to find a solution to ensure the future success of the business for clients and employees while preserving their own legacy.
The project
As long-standing clients of Moore Kingston Smith, the founders reached out to Partner Steve Rushmer who discussed different succession options with them. Based on Moore Kingston Smith’s advice, they decided that selling a part of their business to transition to an EOT would help secure the future success of firm.
The delivery
Moore Kingston Smith brought together a multi-disciplinary team to deliver this project end to end. Leigh Collins, Partner, and Crystal Leader, Senior Manager, from the tax team advised the business on EOT eligibility and considered the valuation of the business. Mike Fox, Director, and Harry Dronfield, Senior Solicitor, from Moore SGD Law, advised on the legal aspects of the EOT transaction.
With Moore Kingston Smith and Moore SGD Law providing these integrated specialist EOT services, the firm benefitted from a joined-up approach to the EOT transaction.
To help with transitioning to this new status, they both remain involved in the business but have given control to their senior team.
The sale of a majority share in the firm to the EOT will allow the founders to relinquish the day-to-day running of the business, further incentivise the firm’s staff to continue driving the business’s growth and success and permit the founders to take some value out of the business in a tax-efficient way.
The firm’s Group Finance and Operations Director, said: “We are very pleased with the services we have received from our team at Moore Kingston Smith. We were working to a tight timeline, and they were always available, responsive and ensured all deadlines were met.”
Steve Rushmer, Partner at Moore Kingston Smith, concluded: “Congratulations, all the hard work since you established the firm has paid off. The achievements are built on your legacy and a strong people culture to better serve clients. We wish you and the whole team all the success in this new chapter.”
For more information about how the team at Moore Kingston Smith and Moore SGD Law can help your business with becoming employee-owned, please contact us.
