Employee Stock Ownership Plans

The Dickinson Wright ESOP Team counsels companies, lenders, fiduciaries, business owners, management groups, and private equity groups on all aspects of Employee Stock Ownership Plans (ESOPs) and its many applications. Dickinson Wright specializes in the use of ESOPs in connection with shareholder liquidity solutions, corporate stock redemptions, private equity transactions, management led buyouts, and the like.

Among the ESOP services Dickinson Wright provides are:

  • Assisting clients in developing goals to be achieved by establishing an ESOP  
  • Consulting and advising clients on ESOP transaction alternatives 
  • Ensuring compliance with laws governing ESOP implementation and administration 
  • Preparing ESOP plan and trust agreements, and other transaction documents 
  • Preparing, reviewing and negotiating ESOP loan documentation 
  • Reviewing ESOP due diligence to ensure that the terms and conditions of the transaction comport with all documentation and applicable laws 
  • Advising and consulting on corporate governance issues for companies that have an ESOP in place 
  • Advising on day-to-day ESOP operational and administrative issues 
  • Advising on the use of an ESOP to acquire other companies in a tax efficient manner 
  • Assisting in the selection of ESOP fiduciaries, appraisers and other service providers 
  • Representing ESOP companies in favorable determination letter submissions and other IRS ruling requests and voluntary correction submissions 
  • Representing ESOP companies in audits and investigations conducted by the Department of Labor and the Internal Revenue Service

What is an ESOP?