Time to Cash Out? ESOP's an Option

Battersby, Mark E.
November 2007
Metal Center News;Nov2007, Vol. 47 Issue 12, p2
Trade Publication
The article provides information on an employee stock ownership plan (ESOP) for metal center operators in the U.S. The author inferred that an ESOP can be used to purchase the shares of a departing owner, borrow money at a lower after-tax cost or create an additional employee benefit. However, he averred that ESOPs have disadvantages such as a limit of 25% contribution, and its tax benefits only apply to C corporations.


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