As a highly profitable multi-million-pound business with an array of quality clients, Accord is an example of a hybrid form of employee ownership.
The Accord model has an Employee Benefit Trust (EBT) that holds, on behalf of the employees, a controlling 51% interest in the company. The EBT has founder-shareholder, employee and independent external representation on its board of trustees. Accord also has an HMRC-approved Share Incentive Plan (SIP) that holds equity on behalf of employee stakeholders in a tax-efficient way. It will eventually hold between 20% and 49% of the equity of the company and has a founder shareholder, an employee and an independent external trustee on its governing board. The balance of equity in the company is owned by the founder shareholders and the hybrid framework allows them to sell shares to employee stakeholders (through the SIP), the EBT or both.
Employee ownership at Accord has consolidated the culture of openness and staff participation within the organisation by giving employees a long-term stake and involvement in the business along with two employee-elected employee directors on the board. This arrangement has unlocked outstanding productivity, innovation and financial results for the company.
We believe that this model and its potential benefits will be attractive to prospective clients and employees alike and will enable us to provide a unique and exciting offering.
“Accord Energy is an outstanding example of an innovative, entrepreneurial business that is using employee ownership to enhance its competitiveness and differentiate itself in a tough international market,”
Jacqui Mitchell, 4 Purpose