TEn Insurance Services is happy to announce that it has taken a further step down the path toward wider equity participation with the introduction of a Shareholder Incentive Plan (SIP), as a vehicle for its employees individually to purchase shares in the company.
This initiative follows on from the transfer of almost 70% of the firm’s shares during November 2014 in favour of an Employee Ownership Trust (EOT). An EOT is a form of collective ownership whereby shares are held in trust for the benefit of all staff, very like the John Lewis Partnership
A SIP enables staff to make a voluntary investment from a salary of up to £1,800 per year, before deductions for Income Tax and National Insurance. The share value is recalculated every year and, after a period of at least three years, those shares bought through the SIP can be sold back to the Trust without Capital Gains Tax.
Comments TEn Marketing Manager Megan Blackham; “In 2014 TEn’s moved toward staff ownership up to nearly 70% of all shares, guaranteed - once and for all - that TEn was really serious about the concept of succession and that we were in the business of being a network for independent insurance brokers for the long term.
We have already seen a significant increase in staff engagement with all facets of the business since then and the opportunity to hold a personal – as well as a collective – stake in future of TEn can only benefit the company, its broker members and our own people.”