Triton Construction has announced it is switching to an employee ownership model.
The Warrington firm, which provides construction services across the North, said its board of directors have transferred to an employee ownership trust (EOT), which it is now 100 per cent owned by.
The EOT, which holds the shares on behalf of the employees as the beneficiaries, means employees have a vested interest in the future success of the business while the existing board of directors continue their roles with no change.
The move comes after the firm carried out a partial management buyout (MBO) in 2016.
Founder Mike Parkinson said: “The business is in a strong and healthy position with no borrowing or debt and it would be easy for us to sell to a third party but we didn’t want to do that.
“We place great value on the contribution from our team and concluded that an Employee Ownership Trust was the right model.
“It offers the mutual benefit of protecting the future of the business under the control of motivated employees with an interest, and all of the goodwill that engenders, as well as generous exemptions to capital gains tax on the value of the company shares.
“With an EOT, everybody benefits.”
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Triton, founded by Mr Parkinson in 2005, employs more than 55 people across the North West and Yorkshire.
During the EOT process, the firm said director Steve Bolton has retired, while two of the original non-executive directors have exited with their share purchase being deferred over a number of years, “therefore placing no debt or strain on the business”.
Chris Quinn who was recently promoted to regional director, responsible to lead the North West office, said: “This presents a really exciting opportunity for all of us at Triton with drive and ambition to succeed at work.
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“It means that we can directly contribute to productivity and overall success of the business as a team with total transparency and of course more tangible rewards.”
For the financial year to March 2019, Triton Holdings reported a 50 per cent increase in turnover to around £58 million and, for the financial year to March 2020 it achieved a turnover of £36 million as a reflection of Brexit and the General Election.
Despite Covid-19, the firm expects to maintain between £35 and £40m this financial year.
Its projects over the last 12 months include the refurbishment of the Royal Liver Building in Liverpool, a new Big Yellow self-storage building in Manchester and the ongoing Premier Inn hotels extensions framework.