EOT Feasibility Reviews

Introduction: Before committing to an Employee Ownership Trust (EOT) transaction, it’s critical to assess whether it’s the right strategic and financial fit for your business. At EotOwl, we begin every EOT journey with a comprehensive feasibility review which includes a structured, professional analysis that evaluates both tax eligibility and commercial viability.

An EOT sale can deliver significant benefits which includes; 0% Capital Gains Tax on sale proceeds,
tax-free employee bonuses, and long-term business continuity. But those outcomes only materialise
when the transaction is carefully planned and properly aligned with tax law.

Our feasibility review gives you clarity upfront, before time, cost, and expectations build. It enables
you to determine whether a sale to an EOT may be appropriate in your particular circumstances.

Why It Matters: Not every business is suited to an EOT. The model involves legal, tax, and financial requirements that must be met for the structure to work, both at the point of sale and in the years that follow.

A successful EOT transaction must:

Qualify for tax reliefs, including 100% Capital Gains Tax relief for sellers.
Be financially sustainable, particularly when funding deferred payments to exiting
shareholders.
Comply with legal thresholds, including employee participation and trust ownership
requirements.
Make commercial sense, ensuring the company can continue to thrive under employee
ownership.

If any of these conditions are not met, the transaction may fail, or worse, create unforeseen tax
liabilities and financial pressure on the business.

Our EOT Feasibility Review is designed to de-risk the process. We identify issues early, suggest
practical fixes where possible, and give you a clear, objective assessment based on the facts.

Our Approach:

What You Get:

Book your EOT Feasibility Review — and take the first step toward a tax-free business exit.

EOT Feasibility Reviews