Learn about this business structure and why it is so important to Community IT’s employee owners.
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October is ESOP Employee Owner Month
An Employee Stock Ownership Plan, or ESOP, is a legal structure used in the U.S. to create an employee-owned company. Essentially, an ESOP is a type of retirement plan that invests primarily in company stock, holding the assets in a trust for the staff.
Community IT is 100% employee-owned. This structure means our staff participates in the company’s success. Not all ESOPs are 100% employee-owned. Our CEO Johan Hammerstrom walks through the decisions and concerns of our founder, David Deal, that the mission of the company always remain focused on serving nonprofits with well-managed IT. The best way to preserve that mission when he sold the company in 2012 was to sell it entirely to the staff.
Being an ESOP is fundamentally important to Community IT because it ensures we maintain the stability and focus required to serve the nonprofit sector best. This structure guarantees we control our own destiny, allowing us to prioritize long-term, excellent service to nonprofit organizations over external pressures like seeking to be acquired or maximizing short-term profits for outside owners.
Further, it enhances our culture by aligning the incentives of our passionate employees with our mission, empowering independent decision-making and ensuring that clients benefit from a dedicated, resourceful, and stable team that is invested in the organization’s lasting success.
Join CEO Johan Hammerstrom as he explains what October being ESOP employee owner month means to Community IT, our clients, and our dedication to providing excellent outsourced IT services.
Interested in the ESOP structure advantages and how to become an ESOP? Contact Johan directly, he is always happy to talk about our ESOP.
Presenters
Johan Hammerstrom’s focus and expertise are in nonprofit IT leadership, governance practices, and nonprofit IT strategy. In addition to deep experience supporting hundreds of nonprofit clients for over 20 years, Johan has a technical background as a computer engineer and a strong servant-leadership style as the head of an employee-owned small service business. After advising and strategizing with nonprofit clients over the years, he has gained a wealth of insight into the budget and decision-making culture at nonprofits – a culture that enables creative IT management but can place constraints on strategies and implementation.
As CEO, Johan provides high-level direction and leadership in client partnerships. He also guides Community IT’s relationship to its Board and ESOP employee-owners. Johan is also instrumental in building a Community IT value of giving back to the sector by sharing resources and knowledge through free website materials, monthly webinars, and external speaking engagements. He always celebrates October as ESOP employee-owner month.
Carolyn Woodard is currently head of Marketing and Outreach at Community IT Innovators. She has served many roles at Community IT, from client to project manager to marketing. With over twenty years of experience in the nonprofit world, including as a nonprofit technology project manager and Director of IT at both large and small organizations, Carolyn knows the frustrations and delights of working with technology professionals, accidental techies, executives, and staff to deliver your organization’s mission and keep your IT infrastructure operating. She has a master’s degree in Nonprofit Management from Johns Hopkins University and received her undergraduate degree in English Literature from Williams College.
She was happy to have this podcast conversation with Johan about October being ESOP employee-owner month.
Ready to get strategic about your IT?
Community IT has been serving nonprofits exclusively for twenty years. We offer Managed IT support services for nonprofits that want to outsource all or part of their IT support and hosted services. For a fixed monthly fee, we provide unlimited remote and on-site help desk support, proactive network management, and ongoing IT planning from a dedicated team of experts in nonprofit-focused IT. And our clients benefit from our IT Business Managers team who will work with you to plan your IT investments and technology roadmap if you don’t have an in-house IT Director.
Being 100% employee-owned is important to us and our clients. It is an important aspect of our culture as a business serving nonprofits exclusively for almost 25 years.
We constantly research and evaluate new technology to ensure that you get cutting-edge solutions that are tailored to your organization, using standard industry tech tools that don’t lock you into a single vendor or consultant. And we don’t treat any aspect of nonprofit IT as if it is too complicated for you to understand.
We think your IT vendor should be able to explain everything without jargon or lingo. If you can’t understand your IT management strategy to your own satisfaction, keep asking your questions until you find an outsourced IT provider who will partner with you for well-managed IT.
More on our Managed Services here. More resources on Cybersecurity here.
If you’re ready to gain peace of mind about your IT support, let’s talk.
Transcript coming soon
Photo by Christina @ wocintechchat.com on Unsplash