Franklin Insurance becomes 100% employee owned
Franklin Insurance, a well established Pennsylvania full service insurance firm, has become 100% employee owned.
By: Franklin Insurance
FRANKLIN, Pa. - June 27, 2016 - PRLog -- Franklin Insurance, a well-established Pennsylvania full service insurance firm, has become 100% employee owned.
With the help of The Menke Group, David Ballard has extended ownership to his employees by way of an Employee Stock Ownership Plan.
In addition to helping create financial security for employees, the plan is designed to encourage and reward increased employee productivity and efficiency. According to The Menke Group, a 5 or 10 percent increase in individual employee productivity can result in increasing company profitability by 50 percent or more. The ESOP creates a direct link between employee productivity and employee benefits, and nurtures a collaborative culture where the employee-owners and the bottom line can thrive.
"As part of my overall succession strategy, I sold Franklin Insurance to my employees, rather than to a third party, as a way to ensure the firm remains independent and my employees are rewarded for the hard work and success," says David Ballard, president of Franklin Insurance. "It is also important to us that our current and future customers know that there is a transition plan in place and that Franklin Insurance will continue to operate for many years to come, with all of our valuable employees now being owners of the business. We want to thank the Menke Group for their excellent advice and counsel in structuring and launching the ESOP for us."
ESOPs work particularly well in companies where human capital is a key component of success. An ESOP rewards and retains staff in a remarkably efficient manner, allowing for a well-executed succession strategy.
The Menke Group has over 40 years' experience creating and administering ESOPs, and has helped over 3,000 companies become employee owned. Visit www.menke.com to learn more about The Menke Group.