All Things Considered
4:45 pm
Fri January 17, 2014

What It Means For A Company To Be '100 Percent Employee Owned'

This week the Upper Valley cutting equipment manufacturer Hypertherm announced it was now structured as a 100 percent employee owned company.

A number of well-known companies have gone through the same process; King Arthur Flour did so about a decade ago. And many other businesses encourage employees to buy stock, including tech giants like Google and Microsoft.

B. Espen Eckbo is Tuck Centennial Professor of Finance at Dartmouth College. He explains the process and the ramifications of setting up an Employee Stock Ownership Plan as the owner of a company.

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