Thinking about succession planning for your business? Consider an ESOP

An ESOP has numerous tax advantages to help you transition your business and give employees an ownership interest. However, ESOP plans are complex, with numerous rules and requirements that are distinct from other qualified retirement plans. USI Consulting Group (USICG) understands the challenges you face and the numerous priorities that need to be addressed – expertly, efficiently and cost-effectively.

Your top challenges


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Succession planning for business owners ready to retire or sell

Timing of sale and succession

Financial resources to buy out owners and remain independent

Providing fair value to retiring business owners

Retaining employees who helped build the value of business



Your objectives


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Promote employee ownership

Create value for shareholders with favorable tax treatment

Remain independent, locally-owned

Minimize corporate taxes and maximize cash preservation

Recruit and retain great employees



What is an ESOP?

An ESOP is an employee benefit plan that invests primarily in the company’s stock providing an opportunity for eligible employees to share company ownership. Employees do not contribute financially to an ESOP and the plan is typically funded by company contributions.

Two types of ESOP configurations



An entirely separate and independent plan. Typically, employers also offer a separate 401(k) alongside their ESOP Plan.


KSOP: combined ESOP + 401(k)

A combined ESOP and 401(k) under the umbrella of a single plan arrangement. 

Why create an ESOP?


Tax-efficient business succession at fair value


Flexible, gradual sale and transition


ESOP companies remain independentlocally-owned and strong in their communities


Businesses perform well with tax advantages


Companies continue the mission and values of shareholders


ESOPs benefit the people who created value for the shareholders

Tax-Efficiency | Flexibility | Fair Value | Reward | Independence | Legacy

Learn more about how USICG can help employers with ESOPs

Steps to set-up an ESOP

Learn about the rules, requirements and process of setting up an ESOP

USICG ESOP services

Learn how our ESOP experts can deliver custom, full-service consulting for ESOPs

What sets USICG apart

Learn about our customized strategies to help you optimize your resources and goals

We are your trusted partner. Our integrated team of highly skilled professionals provides specialized expertise to drive positive outcomes for you and your employees, including:


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Offer cost-effective, competitive plan to attract and retain talent

Minimize corporate taxes and maximize cash preservation

Secure protection and mitigate risk

Ease administrative burden, saving time and money

Ensure employees understand the value offered through your ESOP