SAN MATEO, Calif., March 12, 2024 /PRNewswire/ — The Menke Group, a leading full-service ESOP provider, announced that Brown Construction Incorporated, one of the largest general contractors in the greater Sacramento area and ENR Top 400 general contractor, has become 100% employee-owned with the help of The Menke Group. The Menke Group enabled Brown Construction to extend ownership of the company to their employees by way of an Employee Stock Ownership Plan (ESOP).
ESOPs are the most commonly-used forms of employee ownership in the United States, according to the National Center for Employee Ownership. An ESOP lets companies offer an attractive employee benefit to workers. In addition to helping create financial security for employees, an ESOP is designed to encourage and reward increased employee productivity and efficiency.
“We have found that a 5 or 10 percent increase in individual employee productivity can result in increasing company profitability by 50 percent or more,” said Trevor Gilmore, CEO of The Menke Group. “The ESOP creates a direct link between employee productivity and employee retirement wealth, and nurtures a collaborative culture where the employee-owners and the bottom line can thrive.”
ESOPs work particularly well in companies where human capital is a key component of success. An ESOP rewards and retains staff in a remarkably efficient manner, allowing for a well-executed succession strategy.
“An ESOP creates a great retirement benefit for our employees and ensures that our employees are rewarded for their hard work and the success of the company,” said Ron Brown, President and CEO of Brown Construction. “It is also important to us that our current and future clients know that there is a transition plan in place and that Brown Construction will continue to operate for many years to come, with all of our valuable employees now being owners of the business. We want to thank the Menke Group for their excellent advice and counsel in structuring and launching the ESOP for us.”
Brown Construction Incorporated was founded in Sacramento by Bill Brown in 1964. Current CEO, Ron Brown, purchased half of the company in 1996 and the remaining shares in 2002. With 130 employees, Brown Construction is known for the many notable projects they have built throughout California.
About The Menke Group
The Menke Group is America’s largest and oldest ESOP advisor, with more than 50 years of experience creating and administering ESOPs. Menke has helped more than 4,000 companies become employee owned and has designed and installed ESOPs all over the United States, serving companies with as few as 10 employees and as many as 15,000 employees. The Menke Group was founded in 1974 by John Menke who co-authored the landmark federal ESOP legislation which subsequently spawned the industry. Visit The Menke Group at www.menke.com for more information.
Contact:
Trevor Gilmore
The Menke Group
***@menke.com
PRLog ID: www.prlog.org/13011148
SOURCE The Menke Group
