heading

ESOP Facts


CENTROL of Twin Valley is owned by employees through an Employee Stock Ownership Plan (ESOP). "CENTROL's proud history of innovation and efficiency began in 1981, when CENTROL was started by local cooperatives and growers. Since then we have built a reputation in crop consulting that we're pretty sure is unmatched. In 2002, CENTROL of Twin Valley employees, through an ESOP, became owners of the company that they helped build.

What's an ESOP?

ESOP stands for Employee Stock Ownership Plan. ESOPs are a business strategy that gives each employee an owner's stake in the company, by allowing tax-deferred retirement benefits through an ESOP trust fund.

How does CENTROL's ESOP work?

Employees earn company stock through the CENTROL ESOP trust. This allows them to build wealth and share in the growth and success of the company. Stock is earned through performance and length of service. There is a vesting process that works similar to a 401K plan.

Do other companies use ESOPs?

Yes. Because ESOPs work well with today's participatory management styles, more than 8 million employees nationwide now own stock in their company through such plans. Corey Rosen, Executive Director of the National Center for Employee Ownership says: "ESOPs not only help companies do better, but employees are better off as well. It's precisely the kind of win-win scenario that Congress hoped to create by passing the ESOP legislation."

ESOP companies increase sales and employment by about 2.3-2.4% per year over what would have been anticipated, without an ESOP.

What's in this for CENTROL employees?

From the time you begin working, until you leave the company or retire, stock in the company is being set aside in a trust fund for you. When you leave you can have a substantial amount of funds for retirement. As stock-owners, CENTROL employees will benefit from their dedication and excellence in crop consulting. An ESOP enhances future retirement savings for employees at the same time it broadens their investment options. Most importantly, an ESOP allows employees to participate in and share in CENTROL's growth and success.

What's in this for CENTROL itself?

First and foremost, it's a chance to share company success with employees who have contributed to it. CENTROL is owned by those who have the greatest personal interest in its success. An ESOP allows for continuity of our current business strategy while giving employees a role in long-term business succession plans. CENTROL of Twin Valley is a winning team and an employee-owned company allows the growers, CENTROL and employees to win.

How do I find out more about ESOPs?

The National Center for Employee Ownership (NCEO)
The ESOP Association
photo
gornja