Internal Ownership Transition

The process of transferring ownership of a business from the current owner(s) to individuals or entities within the company, such as existing employees, management, or family members, rather than selling the business to an external party. This type of transition is often part of an exit strategy for the current owner, allowing the business to continue operating with leadership and ownership staying “in-house.” Types of internal ownership transitions include a Management Buyout, an Employee Stock Ownership Plan (ESOP), a family succession, a partner buyout, a sale to a key employee.