ESOP Feasibility Study

SCS offers a Feasibility Study to determine the financing that would be possible for a Company seeking an ESOP loan. The Feasibility Study also explores the most advantageous ESOP design to meet a Company's objectives, and would include the following:
  • The Preliminary Value of the Company under IRS Revenue Rulings.
  • The amount of stock a shareholder can sell.
  • The effect on the Company's Net Worth and cash flow with different tax deductible contributions.
  • Approximate insurance needed to fund the emerging Repurchase Liability.
  • Different design for bank financing and "seller financing".

These questions and much more are answered in the study that will detail the effect of implementing an ESOP.

If you would be interested in a Feasibility Study for your company, or would like to discuss how the ESOP can work for you, please call us at 858-587-1300 or e-mail us at scsmanagement@sbcglobal.net

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