The purpose of this transaction was to finance the purchase of the remaining 52% of the company stock from various shareholders of the company. First American Bank took advantage of the company’s strong cash flows and implemented a line of credit...
If you’ve ever sold a home, you know how complicated it can be – the seemingly endless paperwork, the frantic attempts to clean the house before a last‐minute showing, the frustrations of negotiation. Selling a business is even more complex –...
Family-owned businesses, a key pillar in the American economy, make up a significant number of the privately held companies across our country. Although these companies cut across all industries and range in size from small to large, they all share common challenges....
Employee Stock Ownership Plans give your employees a slice of the ownership pie. When it comes to deciding upon an exit strategy, owners of closely held businesses have a lot to think about. Faced with the frightening prospect of turning over the business they have...
Many engineering and construction firm owners will be retiring in large numbers in the coming years. Those whose children don’t want the family business face a dilemma. With more “baby-boomer” sellers than buyers, buyers are likely to be highly...
Traditionally, employee stock ownership plans (ESOPs) are used as a vehicle to facilitate the retirement of the sole (or majority) shareholder of a closely held corporation and to finance business acquisitions. However, ESOPs are sometimes the perfect (and often...
We've worked with Jamie for about a year, and he's been fantastic to deal with; they all are at First American - but Jamie has been truly outstanding. He was an excellent choice to do the second round of our bank financing, he handled our case quickly and...
The original article appeared in EMPLOYEE BENEFIT PLAN REVIEW. Owners of closely held businesses under-utilize Employee Stock Ownership Plans ("ESOPs") as an ideal vehicle for achieving key business and tax deferral goals. Many of these owners have no exit...
There are several paths you can take when it comes time to transition ownership of your business. How do you determine which one is right for you? For an owner of a closely held business, few questions require as much soul‐searching as the issue of whom to...
This $7,000,000 transaction allowed the ESOP to purchase of 51% of the company's stock from its two owners. The buyout was structured through a term note and line of credit. Additionally, we provided the company with a working capital line of credit to assist with the...