Top Small Company Workplaces and ESOPs

  

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Distributes electrical, lighting, and automation products.

Five years ago, Van Meter became 100 percent employee owned. After a new hire puts in six months, the company throws an "I'm In" meeting, celebrating his or her official initiation into the employee stock ownership program, or ESOP. Every staff member is expected to regularly offer ideas on improving efficiency, putting a dollar amount on how much the ideas will save the company—and hence increase the value of everyone's shares.

The website also discusses their four-step onboarding process in How to Make New Employees Feel at Home.

Here are the profiles of the finalists that are ESOP companies (if I missed a winner or finalist that has an ESOP, please let me know and I will add them to the list):

NewAge Industries

Southampton, PA-based NewAge Industries has lived up to its name by reinventing itself: from a distributor of plastic tubing to a manufacturer, to a premier provider of disposable pharmaceutical processing systems. Since its founding in 1954, this family-owned business has steadily followed its core values focusing upon customer appreciation, high ethical standards and sharing the wealth with employees. This formula has paid off. Today, NewAge employs 84 people and is a modern lean operation with a tenured workforce known for its innovation, commitment and agility. This firm has consistently been profitable throughout it 56-year history with its share price steadily increasing while those of its publicly traded competitors dropped.

Pool Covers, Inc.

Pool Covers is a Fairfield, CA-based ESOP company which sells, installs and services swimming pool covers. Founded in 1984 and now employing 35 folks, the company has consistently seen strong returns in large part by due to its implementation of "The Great Game of Business" open-book management – practices they have been refining since 1997. To successfully adopt such practices requires patience, trust and lots of education. All employees learn about the business finances and how their role impacts the firm's bottom line. This gives them the information and confidence necessary to provide extraordinary client care. While 2009 profits were down, they did not lose money – a stark contrast to some competitors who saw their revenues shrink 50 percent or more.

Torch Technologies, Inc.

Since 2002, employee-owned Torch Technologies, of Huntsville, AL, has provided aerospace and engineering services primarily to Defense Agencies. Recognized by the Inc. 5000 as the fastest-growing private defense contractor in the Southeastern U.S., Torch incentivizes its 152 employees by letting those interested serve as project lead on small teams, as well as through open-book management and an ESOP. The company is also committed to giving back to its community: an employee-funded donation program contributes five figures annually to worthy local charities. Good or bad economy, it seems that aerospace and engineering services are always in demand; in 2009 Torch saw a 50 percent increase in revenues.