ESOP Advisor in Creve Coeur, MO

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ESOP advisor in Creve Coeur, MO. Employee stock ownership plans (ESOPs) have become an increasingly common retirement benefit for employees in a variety of sectors in Creve Coeur, MO. They offer business owners an opportunity to move on from their company while greatly reducing taxes on the sale, and offer employees a tax-advantaged retirement plan that builds their investment in your company. However, designing, implementing, and maintaining an ESOP isn't something most Creve Coeur, MO business owners can do without professional help. Correct Capital's seasoned and savvy ESOP advisors help businesses of all sizes, in Creve Coeur, MO and around the country, design tailored retirement plans that benefit themselves, their employees, and their bottom line.

If you're seeking a trustworthy financial partner in Creve Coeur, MO who shares your goals of setting up your company and employees for sustained success, call Correct Capital at 877-930-4015, contact us online, or schedule a consultation with one of our financial advisors immediately.


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Correct Capital Wealth Management's office is physically located in St. Louis, MO, but we serve clients throughout the United States in both personal financial planning and corporate retirement plans.

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What Is an Employee Stock Ownership Plan (ESOP)?

An ESOP is a qualified retirement plan where employees receive shares of the company they work for, rather than savings accounts or investments in other companies such as in a 401(k). ESOPs are 100% company funded, and often times shares offered to employees are not governing shares, meaning control of the company stays with the C-suite. They offer excellent incentives to employees while providing businesses with a superior value proposition in the hiring process, and allow business owners to set up a succession plan while retaining control. When they retire, most employees sell the stock at stock market value.

Perhaps even more importantly, by handing over part of your ownership to the ESOP, owners can defer capital gains taxes, allowing you to spread out the tax consequences of the sale instead of needing to pay taxes at once. In many cases, ESOPs are a transition plan that keeps the most amount of money achievable with the owner.

Benefits of an Employee Stock Ownership Plan

  • Sell a portion of your business (minimum 30%) with deferment of capital gains taxes (provided you reinvest into qualified replacement securities)
  • Additional tax deductions through contributions made to employees
  • If the business is one day 100% owned as an S-Corp by the ESOP, it's not subject to federal income taxes
  • Align the goals of employees and stockholders
  • Offer a higher value proposition when hiring
  • Boost employee motivation and productivity
  • Enhance employee retention and loyalty
  • Simplify succession planning and business continuity
  • Retain control while arranging or easing into retirement
  • Raise personal liquidity of owners, but still hold on to control of the company
  • Preserve your business' legacy and culture

What About KSOPs?

A KSOP is a tax-advantaged plan that is a mix between an ESOP and a 401(k). Ownership shares are given to employees as in an ESOP, employees can contribute their own money to obtain additional stock through payroll deductions, or the company can match employee contributions with shares rather than cash.

Setting up a stock ownership plan doesn't have to exclude your employees from more diverse investments. In fact, incorporating an ESOP or KSOP to a more traditional retirement plan allows you to get the benefits of both. The experienced Creve Coeur, MO ESOP advisors and retirement consultants of Correct Capital can help you find the right plans for your business.

What Our Creve Coeur, MO ESOP Advisors Do for You

Whether you're moving on from ownership of your company or are interested in an ESOP's other benefits, you'll need a knowledgeable Creve Coeur, MO ESOP advisory firm by your side to reap the most benefits of your plan. When you work with Correct Capital, we:

  • Minimize your tax liability as much as possible — When you transfer your ownership shares to an ESOP, you can reinvest the proceeds in different securities to defer capital gains taxes on the sales, permitting you to retain more of the sales proceeds for various purposes. To defer capital gains taxes, your ESOP advisor can help you execute a Section 1042 exchange by selling at least 30% of your company to the ESOP and reinvesting the proceeds in qualified replacement securities or QRP. Taxes would be payable until the taxpayer has a sale of the QRP. An ESOP advisor can assure you obtain the most tax benefit from your ESOP.
  • Personalize your ESOP and retirement plans — Along with your team, we'll create and implement an ESOP that works best for you and your one-of-a-kind company. We like to test ourselves and our clients to get creative with retirement plan offerings to enhance the advantages they provide. We'll assess your needs, assess various ESOP options, and suggest a personalized ESOP that meets legal requirements and is aimed at maximizing benefits. If we believe it's a good idea, we may also advise combining an ESOP with a 401(k) or other retirement plans to additionally augment benefits, without sacrificing efficiencies.
  • Conduct a ESOP feasibility study — When we first meet with our clients, we work to comprehend their needs and work together with them to identify the optimal qualified retirement plans for their company. For clients looking at an ESOP, part of that means conducting a feasibility analysis to ascertain if it's a workable option for your company. We'll examine:
    • Cash flow, debts, and overall financial health
    • Ownership structure to understand how it'll be affected by introducing an ESOP
    • Employee demographics to understand how they're best served
    • Tax implications for both your company and shareholders
    • Company culture and employee engagement to determine if an ESOP is likely to be well-received and supported

    What if your business isn't a great fit for an ESOP? We'll partner with you to find a retirement or succession plan that works for you.

  • Connect you with valuation firms and trustees — Implementing and maintaining an ESOP involves a lot of moving parts, including CPAs, lawyers, and a trustee to acquire stock of the company on behalf of the ESOP. An experienced ESOP advisor with a strong network in Creve Coeur, MO can help you set up your ESOP team with dependable partners.
  • Ensure compliance — IRS, Department of Labor, and ERISA all have strict guidelines for the management of ESOPs. For instance, when ESOP participants at a closely held employer receive company stock in an ESOP distribution, they have the right to require the employer to buy back them at fair market value.
  • ESOP sustainability assessments — In an ESOP, shares are granted to employees over time based on how long they've worked there. Usually, that means ownership of the company is sold to the ESOP in phases. Depending on how you structure your company and the plan, your ESOP may start with 30%, but could ultimately achieve 100% ownership. As the plan evolves and matures, so will its implications for your company. ESOP advisors can plan for these changes and react to them in real time, facilitating your plan to stay workable, in accordance with regulations, and profitable.
  • Employee communication and education — Our ESOP advisors offer group sessions and individual consultations with your employees so they can maximize the benefits from your ESOP. With an ESOP advisor from Correct Capital, your employees won't just attain a portion of your company, but they'll feel like they're gaining ownership of their financial health and eventual retirement.

Why Choose Correct Capital as Your ESOP Advisor in Creve Coeur, MO

Correct Capital is an independent advisory firm that specializes in helping business owners arrange retirement plans and succession plans for their enterprises. There are multiple factors we believe distinguish us from other financial advisory firms in Creve Coeur, MO, and throughout the U.S.:

  • A member of the National Association of Plan Advisors (NAPA), Correct Capital was recently named one of their Top Defined Contribution (DC) Teams with Assets under Advisement of at least $100 million. Correct Capital is the only advisory firm in Missouri to achieve this distinction.
  • We know retirement plans and ESOPs. Correct Capital's clients currently operate these plans in a wide range of sectors, including for construction companies and contractors. As we work with both businesses and individuals and families to support in setting up retirement plans, we're well-prepared to understand the demands of each and create a plan that satisfies the requirements of both, as well as those of your stockholders.
  • Our award-winning Creve Coeur, MO financial advisory team is composed of a diverse range of financial expertise, including an Accredited Investment Fiduciary®, multiple CERTIFIED FINANCIAL PLANNER™ professionals, a certified public accountant, and a six-time Barron's Top 1200 Advisor. With over eight decades of combined experience, we pool our collective talents and insights to optimally assist each client distinctively.
  • As independent fiduciary advisors, we are lawfully and ethically bound to do what's in the optimal interest of you, your employees, and your company. We strive to establish long-term relationships with our clients based on trust and the common goal of growing your and your employees' financial prosperity.

Other services we offer in Creve Coeur, MO:

ESOP Advisor in Creve Coeur, MO | Retirement Consultants | Financial Advisors Near Creve Coeur

Call Correct Capital to Speak With an ESOP Advisor in Creve Coeur, MO Today

If you're interested in learning more about ESOPs or aspire to start the process of setting one up for your Creve Coeur, MO business, reach out to a Correct Capital ESOP advisor now. Let us do what we do best so you can focus on what you value most: establishing yourself, your business, and your employees up for prosperity. Reach out with one of our Creve Coeur, MO ESOP advisors now at 877-930-4015 or contact us online.


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