One of the 海角视频’s leading water and environmental engineering consultancies, Waterco, has been acquired by its employees.
The Ruthin-based company was founded by Peter Jones in 1998, who had previously spent 10 years with former utilities group ,Hyder, after identifying spotted a gap in the market for a water infrastructure design and consultancy business.
With an eye on retirement, he has now sold his majority shareholding in the business to an employee ownership trust (EOT) – resulting in all employees now having an equity share in the company. The value of the deal has not been disclosed.
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The firm’s blue chip clients include Welsh Water and Severn Trent Water, which it supports in improving supply and reducing leakage within water networks, as well as upgrading ageing sewer infrastructure. With a workforce of 60 people it has expanded its technical service into the drainage and flood risk management space, supporting 海角视频-wide housebuilders and local councils.
Mr Jones said: "Employee ownership was a way in ensuring we could keep our great team, continue to invest in the business and keep the future of the company here in North Wales.
“We did look at a trade sale, but as many small businesses have found, we could see a real risk that the operation would move away from Ruthin, losing skills and jobs in the area”.
Mr Jones’ children, Pedr and Rachel will remain as commercial and financial directors respectively, but when discussing their father exiting the business, they didn’t want the company passed down to them in the traditional way.
Commercial director, Pedr, said: “My father has worked really hard in building this business to be the success it is today, and my sister and I are very proud to have played our part in that, but when it came to my dad looking at the best option for retirement, we knew that the usual family succession route wasn’t for us.
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“We wanted our father to realise the investment he had made in the company and following some research found employee ownership to be a great option for a business founder to get financial reward from his years of work building the business.”
“Now, as an employee-owned company, we all have a vested interest in the success of the business to drive us forward. That sense of ownership, the ability to shape the future of the business will help us continue to attract new talent, develop new markets and help us grow Waterco further. We have an opportunity to make Waterco an even bigger success together.”Waterco was advised on its transition to employee-ownedd by Social Business Wales, which is delivered by Cwmpas.
Branwen Elis, specialist emloyee-owned consultant for Cwmpas, said: “What I loved about Waterco’s story and reason for using the EO model for succession planning is that it was a family decision. It was one that they all came to for the benefit of the company and not just themselves.
“It demonstrates how employee ownership is seen as a long-term, sustainable way to run a thriving and ambitious business. The Directors of Waterco know they have an invested workforce; realise they need that expertise to remain in-house and see the way of retaining that is to give their employees ownership of the business and a real stake in its success.”
The Employee Ownership Wales service is part of the Social Business Wales programme delivered by Cwmpas. It is part of the Business Wales family and funded by Welsh Government.