Why Gusto Group are Transitioning to an EOT
At Gusto Group we are in the process of transitioning to an Employee-Owned Trust (EOT).
After spending years building a business, there comes a point where you have to ask - what happens next? Which is why our Founder, Steff Wright, decided to go down the route of employee ownership.
What is an Employee-Owned Trust (EOT)?
An Employee-Owned Trust (EOT) is a legal framework introduced by the UK government where a dedicated trust holds a stake in a business on behalf of all its employees.
Rather than individual employees buying or holding company shares directly, the trust owns 100% of the business for the collective benefit of the entire workforce. This model ensures the business remains independent, protects its founding culture, and allows employees to share directly in the group's financial growth and long-term success.
5 Reasons We're Becoming an Employee-Owned Business
1. Protecting the legacy we've built
After decades of building a business, the last thing you want to do is sell to an investor who might take out the best parts of what you created. By transitioning to an EOT, Gusto Group stays in the hands of the people who actually care about its future and continue to contribute towards it.
2. The people who built it can own it
The team working hard here every day have the opportunity to be owners. When people think like business owners rather than just employees, you become a better business. That shift in mindset naturally drives better engagement and performance.
3. People, planet AND profit
When you sell to an outside investor, profit is often the top priority. As an employee-owned business, we can focus on people, planet AND profit together.
4. EOTs simply perform better
Employee-owned businesses tend to be more profitable, productive, and resilient. Employees report higher job satisfaction, greater engagement, and can receive nearly double the bonuses compared to non-EOT companies.
5. A smart way to move on
As a business owner, there comes a point where you have to decide to sell up, carry on forever, or transition to employee ownership. Keeping that responsibility right up until old age isn't always sustainable and passing it to the next generation only works if they actually want it. Employee ownership provides a way to step back, while leaving the business in the hands of people we trust.
To put it simply, transitioning to an EOT just feels like the right thing to do.
Next Steps in Our EOT Transition
By 31st March 2027, Gusto Group will be employee owned. All current employees are already growth shareholders as part of the transition to an Employee Ownership Trust, creating a structure that means the people who contribute to the Group's success will share directly in it.
It's a significant step, and one that reflects how seriously we take the idea of empowering the people who make this business what it is.
Why We Issued EMI Growth Shares Ahead of the EOT
Instead of immediately transitioning to an EOT in 2023, we wanted to combine this with EMI shares for our employees as an additional financial benefit whilst preparing the team for employee ownership through training and education. The feedback from the team has been really positive so far.
What our Team are Saying
For me as Chairman and Founder, I believe that businesses should not solely measure success by profit margins, but also by the positive impact they create for their employees, communities and the planet. By transitioning to employee ownership, we are aligning our business strategy with our values.
Another one of our employees said: "Transitioning to an EOT means when the business wins, we all win. We have gone from colleagues to co-owners, and it feels great!"
Learn More About Employee Ownership
Interested in learning more about how Employee Owned Trusts work and the benefits they bring? Visit the eoa website!