Alternative Exit

Andy
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Alternative Exit is a dedicated to educating small business owners about the possibilities, benefits, and challenges of transitioning to an employee ownership model. There are over 200m SMEs with an owner who will be retiring in the next 10 years, many of which will never find a buyer for their business, forcing them to close their doors.  There is an alternative. This show will explore various the different forms of employee ownership and best practices for successful transitions. Each episode features interviews with experts in employee ownership, business owners who have made the transition, and consultants who facilitate these changes.

  1. Alternative Exit #62 | From Fortune 500 to EO: why Kevin Clegg bet on his people & doubled profits

    1 DAY AGO

    Alternative Exit #62 | From Fortune 500 to EO: why Kevin Clegg bet on his people & doubled profits

    What happens when a CEO with over a decade in Fortune 500 companies returns to a family auto business and insists from day one that any exit must benefit the employees? You get America's first employee ownership trust – and one of the most compelling performance stories in the employee ownership movement. Kevin Clegg shares how Clegg Auto, a group of four repair shops in Utah County, doubled profits and grew employee profit-sharing tenfold in their very first year as an EOT – without raising a single price. He also digs into the real challenge: building an ownership culture from the inside out, and his evolving vision for a business cooperative movement that could reshape small business succession across the US. Key Takeaways: ✅ Employee ownership isn't just an exit strategy – it's an operating model that drives measurable performance from day one ✅ Structuring profit-sharing so employees benefit immediately (not after former owners are paid off) is what makes it real and tangible ✅ Financial transparency is a powerful tool – but open-book management only works when employees can see their own personal impact on the numbers ✅ Building an ownership culture takes years, not a transaction – and even seasoned owners don't always act like owners ✅ A business cooperative (not a worker cooperative) could be the scalable model to bring the Silver Tsunami of retiring owners into employee ownership en masse ✅ The best employee voice frameworks match decision-making authority to expertise – not a one-person, one-vote free-for-all Notable Quotes: 💬 "There should be some sort of exit that's beneficial for everyone – not just for the people who started the thing." 💬 "The hardest part of the transition to employee ownership wasn't coming up with the structure and transacting it. The hardest part still is – and is – the culture afterwards." 💬 "There's nothing better than preserving what you've created, and there's no better way to do it, in my opinion, than employee ownership." Links: 🔗 Kevin Clegg on LinkedIn: https://www.linkedin.com/in/kevin-clegg-59655a/ 🔗 Clegg Auto website: https://cleggauto.com 🔗 Host Andy Farquharson: https://www.linkedin.com/in/andyfarquharson/ 🔗 a better monday: https://abettermonday.me

    41 min
  2. Sleeping Giant: How One MD Tripled Revenue Through Employee Ownership | Colin Wade, Chemco

    12 MAR

    Sleeping Giant: How One MD Tripled Revenue Through Employee Ownership | Colin Wade, Chemco

    What happens when you stop looking for a younger version of yourself and start fixing what's actually broken? Colin Wade tripled revenue at a Scottish coatings manufacturer by doing succession differently. About the episode: Most founders approach succession by searching for someone just like them — younger, with decades of niche expertise, ready to replicate what made the business successful. Colin Wade's founder at Chemco International tried that approach multiple times. It never worked. The business didn't need another technical genius. It needed someone to cherish the strengths whilst fixing the weaknesses. Colin joined Chemco in 2018 specifically to lead its transition to 100% employee ownership — an unusual move for a seasoned MD, but one inspired by David Erdal's book about Loch Fyne Oysters. He started with a simple SWOT analysis, recruited to fill the gaps, and spent two patient years building a culture where factory floor workers became self-empowered shareholders. Chemco now runs a hybrid model with a 51% EOT and up to 49% direct shares distributed equally to all employees. This conversation explores deliberate succession planning, why manufacturing employees can absolutely embrace ownership, and how quarterly "shareholder meetings" change the relationship between management and workforce. Guest Information: 🔗 Colin Wade — Managing Director, Chemco International LinkedIn: https://www.linkedin.com/in/colinwade1967/ 🔗 Chemco International: https://www.chemcoint.com Chapters: 00:00 - Introduction 01:52 - Actively seeking employee ownership 03:05 - Why founders seek younger versions of themselves 04:26 - Inspired by David Erdal's book 06:22 - The succession unicorn problem 08:05 - Starting with SWOT analysis 09:10 - Cherishing strengths, recruiting for weaknesses 10:05 - Succession planning & EO transitions 11:30 - Collaborative problem-solving 12:43 - Can manufacturing embrace ownership? 13:18 - The settling-in period 14:33 - Resistance to change 15:30 - Two years to build the right team 16:24 - When self-empowerment feels overwhelming 18:17 - Quarterly shareholder meetings 20:04 - Hybrid model: 51% trust, 49% direct shares 22:31 - Skin in the game 24:17 - Patience in culture change 25:42 - Leadership in employee-owned businesses 27:46 - Best of capitalism and cooperation 28:38 - Advice for owners on succession 31:27 - Fast round 34:03 - Connect with Colin and Chemco About The Alternative Exit: A podcast exploring employee ownership as a succession planning strategy, hosted by Andy Farquharson of a better monday. 🔗 Host: Andy Farquharson — https://www.linkedin.com/in/andyfarquharson/ 🔗 Learn more: https://abettermonday.me Links & Resources: Chemco International: https://www.chemcoint.com"Local Heroes" by David Erdal (Loch Fyne Oysters story)Employee Ownership Association UK: https://employeeownership.co.ukScottish Enterprise Employee Ownership support #EmployeeOwnership #EOT #Manufacturing #SuccessionPlanning #Scotland #EmployeeOwned #BusinessSuccession #AlternativeExit #Leadership #Coatings

    30 min
  3. Alternative Exit #60 | Three Dimensions of Ownership: Purpose, Profit & Power | Mark Hand

    26 FEB

    Alternative Exit #60 | Three Dimensions of Ownership: Purpose, Profit & Power | Mark Hand

    What if every business owner played a different game? Mark Hand has spent his career asking that question, first in community development in Latin America, then as an impact investor, and now as a scholar mapping the ownership economy. His weekly newsletter, The Stakehold, tracks everything from ESOPs to worker co-ops to purpose trusts, revealing an ecosystem most people don't realise exists. In this conversation, Mark breaks down the three dimensions of alternative ownership (purpose, profit distribution, and power), explains why 'fat wallets and broken hearts' is the real cost of traditional exits, and challenges us to help business owners surface what actually matters to them beyond maximising financial returns. Key Takeaways: 💡 Three dimensions of ownership transformation — companies are experimenting with purpose (why we exist), profit distribution (who benefits), and power (who decides), and these dimensions can be approached independently or together ✅ Structure makes purpose real — benefit corporations, purpose trusts, and employee ownership lock in commitments that signal to stakeholders this isn't lip service, it's irrevocable 🌟 As many employee owners as union members — in the US, employee ownership already touches as many workers as labour unions, but most employee owners don't see themselves as part of a movement 🎧 Owners are playing multiple games — business owners aren't just profit-maximisers, they're parents, community members, congregation members with different identities that get triggered by how you approach the conversation 📈 Fat wallets and broken hearts — many owners who sell to private equity leave wealthy but regretful, watching their companies dismantled and their employees laid off 💼 Democracy works in complex systems — if countries can operate democratically without dictators, companies (which are simpler than nations) can too Notable Quotes: "I saw friends of his sell to private equity companies and they left with fat wallets and broken hearts. Humans have wallets and we also have hearts." "Our commitment to shareholder value maximisation has actually blinded us to the ways that humans interact with each other and what is possible." "If you can figure out how to run a country democratically, why wouldn't we be able to do that in a company, which is actually a much simpler structure?" Links & Resources: 🔗 Guest: Mark Hand — https://www.linkedin.com/in/markchand 🔗 The Stakehold (weekly newsletter): https://www.thestakehold.com 🔗 PTON (Purpose Trust Ownership Network): https://trustownership.org/ 🔗 Mark's website: https://markclaytonhand.com/ 📖 Recommended: Rutgers CLEO website (compilation of academic learning on employee ownership) 🔗 Host: Andy Farquharson — https://www.linkedin.com/in/andyfarquharson/ 🔗 a better monday: https://abettermonday.me

    39 min
  4. Alternative Exit #59 | The Danish Blueprint: How to Pass Employee Ownership Laws w Andreas Jørgensen

    19 FEB

    Alternative Exit #59 | The Danish Blueprint: How to Pass Employee Ownership Laws w Andreas Jørgensen

    On 1st January 2026, Denmark made history. For the first time, the country passed dedicated legislation creating a vehicle for employee ownership — the EOC, or Employee Ownership Company. This is the story of how it happened. Andreas Pinstrup Jørgensen spent seven years cold-calling politicians, uniting seven parties across the political divide, building coalitions with unions and universities, and publishing a book that sparked a national conversation. What started as a bottom-up grassroots initiative became landmark legislation. In this episode, Andreas walks through the blueprint for making employee ownership law — and what Denmark does next to make the revolution real. Key Takeaways: 🌟 Denmark's EOC law creates a level playing field for the first time — previously it was always easier to sell to family or an external buyer than to employees ✅ Cross-party unity was the secret weapon — seven parties from across the political divide agreed because employee ownership solved four shared problems: succession, productivity, worker welfare, and community resilience 💡 Three implementation lessons from the UK — create early champions, build the advisor ecosystem, and rigorously document everything so the law can be refined 🎧 Lower barriers accelerate uptake — Denmark only requires a 33% minimum sale to employees (vs 50% in the UK's EOT), making it easier for cautious owners to take the first step 📈 Capital infrastructure is next — five financial institutions are already in discussions on loan guarantees and strategic employee ownership lending 🔗 The employees are genuinely in control — unlike some models, Denmark's EOC gives employees 100% ownership of the holding vehicle and seats on the board Notable Quotes: "I have never been in a room where we could agree so much across the radical left and radical right. I've not seen anything like it since the climate movement in Denmark." "You have an opportunity to make history. This is a way to preserve your legacy — by turning your company over to the employees. That will make your company more stable in the future." "We are in great debt to the UK, the EOA, Graham Nuttall, Campbell. We've got all these people that have helped us — and that's the only reason I have quite a bit of optimism that this might create, within a few years, an ownership revolution." Links & Resources: 🔗 Guest: Andreas Pinstrup Jørgensen — https://www.linkedin.com/in/andreas-pinstrup-j%C3%B8rgensen-021ba3a8/ 🔗 Think Tank for Democratic Businesses: https://demokratiskerhverv.dk/ 📖 Book: Medejer (Co-Ownership — the art of overtaking competitors through democratic ownership), 2020 📖 Recommended reading: Making One Dragon (White & White) | The Citizen's Share (Blasi, Freeman & Kruse, 2013) 🔗 Host: Andy Farquharson — https://www.linkedin.com/in/andyfarquharson/ 🔗 a better monday: https://abettermonday.me

    31 min
  5. Alternative Exit #58 | A 40M Owner Vision Through Employee Ownership& EtA | Michael Morosi

    5 FEB

    Alternative Exit #58 | A 40M Owner Vision Through Employee Ownership& EtA | Michael Morosi

    What if the most powerful way to create employee owners wasn't one company at a time - but through strategic acquisitions? Michael Morosi is proving that existing employee-owned companies can become acquisition engines that transform entire industries. As Co-Founder of 40 Million Owners and Managing Partner at Southeast Acquisition Capital, he's pioneered a model where ESOPs use M&A to grow, create value, and expand employee ownership at scale. About the episode: This conversation dives deep into the mechanics and mindset of ESOP acquisitions. Michael shares his journey from managing $100M in equity funds in Madrid to building Southeast Acquisition Capital from zero to $25M in revenue through strategic ESOP acquisitions. We explore why ESOPs have structural advantages as acquirers, how to build culture across a portfolio of employee-owned companies, and why the upcoming wave of Baby Boomer exits could create 40 million new employee owners. Whether you're running an ESOP considering growth through acquisition or a business owner exploring succession options, this episode reveals a playbook for building sustainable, employee-owned enterprises. Guest Information: 🔗 Michael Morosi - Co-Founder, 40 Million Owners & Managing Partner, Southeast Acquisition Capital LinkedIn: https://www.linkedin.com/in/michael-morosi/ 🔗 40 Million Owners: https://40millionowners.com 🔗 Southeast Acquisition Capital: https://www.southeastacquisition.com Chapters/Timestamps: 00:00 - Introduction to Michael Morosi 04:32 - From Global Equity Management to Employee Ownership 12:15 - The Birth of 40 Million Owners 18:45 - Why ESOPs Make Excellent Acquirers 27:30 - Southeast Acquisition Capital's Model 35:20 - From Zero to $25M in Revenue Through Acquisitions 42:15 - The Mechanics of ESOP M&A 51:00 - Building Culture Across Multiple Companies 58:30 - The 3LS Acquisition Story 01:04:20 - Vision for 40 Million Employee Owners About The Alternative Exit: A podcast exploring employee ownership as a succession planning strategy, hosted by Andy Farquharson of a better monday. 🔗 Host: Andy Farquharson - https://www.linkedin.com/in/andyfarquharson/ 🔗 Learn more: https://abettermonday.me Links & Resources: 40 Million Owners website: https://40millionowners.comSoutheast Acquisition Capital: https://www.southeastacquisition.comMichael's article "The Force Multiplier": https://40millionowners.com/2025/03/12/the-force-multiplier/ #EmployeeOwnership #ESOP #MergersAndAcquisitions #SuccessionPlanning #ImpactInvesting #PrivateEquity #BusinessGrowth #EmployeeOwned #CorporateDevelopment #AlternativeExit

    51 min
  6. Alternative Exit #57 | Closing the $10 Trillion Wealth Gap with Employee Ownership with Noelle Lentz

    29 JAN

    Alternative Exit #57 | Closing the $10 Trillion Wealth Gap with Employee Ownership with Noelle Lentz

    Episode Summary: What if the solution to America's wealth inequality crisis was hiding in plain sight? Noelle Lentz is mobilising millions in capital specifically designed for employee ownership transitions. As CEO of Allivate Impact Capital, she's launched one of only two ESOP-focused funds in the US, providing the subordinated debt that makes employee ownership financially viable for selling owners. With over 50% of business owners aged 55+, Noelle explains why employee ownership isn't just good for workers it's the smartest succession strategy for preserving legacy, stabilising supply chains, and creating economic equity at scale. Chapters: 00:00 - Introduction 01:42 - From International Development to Community Finance 04:54 - Founding Allivate Impact Capital 08:56 - The Silver Tsunami and Employee Ownership 12:45 - How the Elevate Employee Ownership Fund Works 18:30 - Target Companies and Investment Criteria 22:15 - The Capital Gap in ESOP Transitions 27:09 - Scaling from $10M to $150M Through SBIC Licensing 30:08 - Finding Deal Flow and Partnerships 31:04 - Quick Fire Round Key Takeaways: ✅ Over 50% of US business owners are 55+ and facing succession decisions in the next decade 💡 Employee-owned companies show higher productivity, retention, and morale than traditional structures 🎯 Most ESOP transitions require 70-80% seller financing because banks won't subordinate debt 💰 Allivate provides $1-2M in subordinated debt (15% of deal value) to make transitions financially viable 📈 The fund is targeting $150M through SBIC licensing to create thousands of employee owners 🌟 Employee ownership receives rare bipartisan political support due to economic stabilisation benefits Notable Quotes: "This is not just a payday, this is your legacy. And if there's a way to preserve that legacy, empower your employees, and still get the financial return you've worked so hard for, it's really worth considering." "When you're not just coming to work to check your time card and clock out, you're really thinking like an owner and contributing to not just the company's bottom line, but your own bottom line." Links & Resources: 🔗 Noelle Lentz on LinkedIn: https://www.linkedin.com/in/noellestclair 🔗 Allivate Impact Capital: https://allivate.com

    33 min
  7. Alternative Exit #56 | The Intersection of ETA and Employee Ownership w Geoffrey Easterling

    13 JAN

    Alternative Exit #56 | The Intersection of ETA and Employee Ownership w Geoffrey Easterling

    Keywords Employee Ownership, ETA, ESOP, Acquisition, Leadership, Business Strategy, Employee Engagement, Company Culture, Value Creation, Business Transition Summary In this episode of the Alternative Exit, host Andy Farquharson interviews Jeff Easterling, CEO of ART and Associates, who shares his unique perspective on employee ownership through the lens of entrepreneurship through acquisition (ETA). Jeff discusses the moral imperative behind his leadership style, the challenges and strategies involved in transitioning to an employee-owned company, and the cultural shifts necessary for success. He emphasizes the importance of collaboration, transparency, and the long-term benefits of employee ownership for both employees and business owners. The conversation also touches on the barriers to employee ownership in the ETA space and offers advice for business owners and ETA searchers considering this path. Takeaways Geoff Easterling emphasizes the moral imperative behind employee ownership.The transition to employee ownership requires cultural shifts within the company.Collaboration and transparency are key to successful leadership in employee-owned businesses.Employee ownership can create a legacy that benefits both employees and owners.The acquisition process can be structured to minimize personal risk for the buyer.Long-term strategies are more beneficial than short-term profit maximization.There are significant barriers to understanding and implementing ESOPs in the ETA space.Business owners should consider employee ownership as part of their exit strategy.ETA searchers can find creative financing options through ESOP funds.Building a strong network is crucial for success in the acquisition process. Chapters 00:00 Introduction to Employee Ownership and ETA 02:48 The Unique Perspective of Employee Ownership 05:48 Navigating the Acquisition Process 08:51 Moral Imperative in Business Leadership 12:12 Cultural Shifts in Employee-Owned Companies 14:47 Value Creation Strategies Post-Acquisition 17:50 Challenges of Transitioning to Employee Ownership 20:58 The Knowledge Gap in Employee Ownership 24:03 Advice for Business Owners and ETA Searchers

    32 min
  8. Alternative Exit #53 | Live from the EOA, Employee ownership, inequality, and Denmark’s quiet revolution

    13 JAN

    Alternative Exit #53 | Live from the EOA, Employee ownership, inequality, and Denmark’s quiet revolution

    In this live episode from the EOA Conference in Telford, Andy sits down withIn this live episode from the Employee Ownership Association Conference in Telford, with Andreas Jørgensen, one of the architects behind Denmark’s renewed push for democratic ownership. Andreas shares how a cold winter classroom at Yale, a pregnant French professor, and exposure to extreme inequality in the US set him on a path to dedicate his career to employee ownership and cooperatives. That journey ultimately led to the creation of Denmark’s first national think tank focused on democratic business models. The conversation covers why Scandinavia forgot its own cooperative roots, how Denmark quietly rebuilt the infrastructure for democratic ownership, and why new legislation coming into force marks a genuine inflection point for employee ownership across Europe. Key themes discussed Why employee ownership barely featured in Danish academic or policy circles for 30 yearsHow exposure to US-style inequality changed Andreas’ worldviewPre-distribution vs redistribution and why ownership matters more than tax after the factThe scale of cooperatives in Denmark and why most employees don’t feel like ownersThe limits of “EO light” models in consumer cooperativesBuilding a movement and a knowledge base at the same timeDenmark’s new Employee Ownership Company model and how it compares to the UK EOTIndivisible reserves, long-term stewardship, and preventing extractive behaviourWhy democratic ownership is politically acceptable across party linesWhat other countries can learn from Denmark’s approachWhy this matters Denmark went from almost zero employee-owned transitions to passing national legislation in under a decade. Not because of ideology, but because ownership structures solve real economic problems: succession, inequality, engagement, and long-term resilience. This episode is a reminder that employee ownership doesn’t need reinvention. It needs infrastructure, patience, and people stubborn enough to stick with it. Links Andreas Jørgensen and his work: https://demokratiskerhverv.dk/Learn more about employee ownership at abettermonday.meSponsor: This episode is brought to you by EOT Expert by Christian Wilson – providing technical expertise and compliance support for EOT transitions and ongoing governance.  Learn more at eotexpert.co.uk

    23 min
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About

Alternative Exit is a dedicated to educating small business owners about the possibilities, benefits, and challenges of transitioning to an employee ownership model. There are over 200m SMEs with an owner who will be retiring in the next 10 years, many of which will never find a buyer for their business, forcing them to close their doors.  There is an alternative. This show will explore various the different forms of employee ownership and best practices for successful transitions. Each episode features interviews with experts in employee ownership, business owners who have made the transition, and consultants who facilitate these changes.

Information

  • Creator
    Andy
  • Years Active
    2024 - 2026
  • Episodes
    63
  • Rating
    Clean
  • Copyright
    © 2026 Andy
  • Show Website
    Alternative Exit