Case Studies: Successful EOT Transactions

Why Share Case Studies?

Employee Ownership Trusts (EOTs) are an increasingly popular exit route for UK business owners — especially those who want to preserve their legacy, protect their team, and take advantage of full Capital Gains Tax relief.

But how does it work in real life?

Below, we share a selection of successful EOT transitions across different sectors to highlight how flexible and impactful this model can be when handled properly.

Union Industries – high-speed doors manufacturer

Leeds-based Union Industries transitioned to an Employee Ownership Trust (EOT) in 2014, when founders sold their majority stake. Since then:

• Profit increased from £130k (2013/14) to £2.4 m (2023/24), with turnover rising from ~£5 m to ~12 m

• Employees received annual tax-free bonuses of up to £3,600, increasing to £6,500 in 2024

• Over £3 m in cumulative bonuses has been paid since the EOT was established

This is a strong example of how an EOT transition can align business growth with employee reward.

Riverford Organic Farmers – organic delivery service

In June 2018, Riverford’s founder sold a 76% stake into an EOT, completing the transition to 100% employee ownership in May 2023. Key outcomes:

• Turnover reached £110 m (2023/24) with pre-tax profits of £5.3 m

• Around 1,000 employees shared approximately £1.3 m in profit — roughly £1,000 per person

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Riverford illustrates how EOT ownership can deliver growth alongside a values-driven succession plan.

Across the UK, EOT has also been successfully adopted by:

• A marketing or creative agency (~£3–4 m turnover) seeking legacy preservation

• A manufacturing business focused on staff continuity

• A SaaS or tech firm structured around recurring revenues

These examples reflect typical conditions for successful EOT transitions: stable cash flow, leadership depth, and strong governance.

Why these cases stand out

• All involve transferring a majority stake to an EOT, meeting HMRC's qualifying criteria.

• They leverage tax-free Capital Gains relief and annual tax-free bonuses of up to £3,600 per employee.

• Clear success factors include sustainable financing, staff engagement, and effective governance

These transitions show how EOTs can support business continuity, growth, and employee ownership when applied thoughtfully.

Thinking About an EOT Exit?

If you're considering transitioning your business through an Employee Ownership Trust, we can help assess if it’s right for you. We produce confidential EOT feasibility reports and help manage the entire journey — from valuation to completion.

Contact us today to discuss your options with a specialist adviser.