Pett Franklin have been cited in the Ownership Effect Inquiry report entitled “The Ownership Dividend: The Economic Case for Employee Ownership”.

The Ownership Effect Inquiry brought together an independent panel of UK business leaders and industry experts to hear and examine evidence from over 100 employee-owned businesses and business advisers.

It revealed new evidence that there are significant and valuable benefits to be gained from more employee ownership in the UK economy. In particular, this would deliver a more productive and inclusive economy via improving UK productivity, resilient regional economies and more engaged employees.

Pett Franklin told the Inquiry that the education of Financiers is critical to the advancement of employee ownership: “if there is going to be a game-changer that helps take Employee Ownership Trust (EOT) companies into the mainstream, provides of finance are going to have to be willing to do cash-flow lending. Banks traditionally in this country come from a basis whereby they lend to SMEs on security and charges on assets, and what we’re talking about here is something radically different. It’s lending to help facilitate the sale price, and that means… you’re going to provide part of the funding for the vendors to get their money earlier out of the whole process.”

To read the report in full, please click here. Pett Franklin are experts in employee share schemes, executive incentives and share valuation. To find out more about how we can help you or your client, please contact William Franklin on william.franklin@pettfranklin.com or call 0121 348 7878.