On January 1st, 2013 NENB entered into an “ESOP” or Employee Stock Ownership Program and became 100% employee owned.
Meet the owners!!
The company was founded in 1977 by John Broucek and has been a mainstay in the Natural Foods industry. “The ESOP option emerged as the best solution for our 45 plus employees; guaranteeing the viability of our values based culture and preserving jobs while remaining at our current location,” says Broucek. He will remain with the company in the role of General Manager.
About Employee Ownership
An ESOP is a qualified, defined-contribution employee-benefit plan, much like a traditional profit sharing plan. All employees actually become stockholders in a business, reaping the value appreciation when they are vested and retire from the business. Employees do not pay outright for the stock, but rather the stock is allocated to them as a benefit according to a nondiscriminatory formula that takes into account an employee’s compensation, seniority and other criteria. ESOP’s have high regard in the business world because they do have a record of performing better than other forms of businesses, and better performance translates to better profit and company worth. According to the National Center for Employee Ownership (NCEO), as of 2012 there were an estimated 11,000 employee stock ownership plans (ESOPs) and stock bonus plans covering over 10 million employees. In addition, estimate that 10 million employees participate in plans that provide stock options or other individual equity to most or all employees.