Why do some business owners choose an ESOP—and why do others decide it’s not the right solution?

In Part 3 of the ESOP Boot Camp series, Trevor Gilmore, CEO of Menke, and Ben Spadt, ESOP Investment Banking Consultant at Menke, walk through the real reasons owners pursue employee ownership, as well as the situations where an ESOP may not make sense.

This episode is structured around three core decision drivers owners consistently face: liquidity versus legacy, partial versus full exits, and when an ESOP is the wrong answer altogether. The discussion blends practical frameworks with real-world examples drawn from decades of ESOP advisory experience.

Topics covered include:

• Liquidity versus legacy as competing (and complementary) motivations
• How ESOPs compare to strategic and financial buyers
• Partial ESOPs versus 100% ESOP transitions
• Timing considerations based on owner age and succession goals
• Bank financing versus seller financing in ESOP transactions
• The pre-fund ESOP option and when it can make sense
• Common reasons ESOPs fail or are terminated
• Clear signs an ESOP may not be the right solution

This episode is designed for owners, CEOs, and CFOs who want an honest, experience-based perspective on when employee ownership fits—and when it doesn’t.