REASONS TO USE BENEFIT CAPITAL
Benefit Capital, Inc. provides important and often indispensable
services to ESOP transactions. Benefit Capital and its principals
have been involved in over $2.5 billion in ESOP transactions
during the past three years alone. Our experience should afford
you a high level of confidence that the transaction design and
structure we agree upon will satisfactorily meet the potentially
differing objectives of the respective parties to the transaction.
We suggest you engage Benefit Capital for the following reasons:
-
Benefit Capital possesses the
requisite knowledge to facilitate ESOP transactions and maximize
the ESOP benefits to any or all of the parties to the ESOP
transaction, thus eliminating the need for the greater number
of advisers that would be required if a firm with a narrower
range of expertise were engaged.
-
Benefit Capital has the ability
to properly implement both full (100%) and partial (less than
100%) ESOP transactions, either of which can hold a number
of traps for the unwary.
-
Benefit Capital has extensive
experience in properly structuring ESOP transactions designed
to minimize estate and income taxes while at the same time
maximizing shareholder values.
-
Benefit Capital has the ability
to design, structure, implement and monitor ESOPs that maximize
the cash values recognized by the shareholders it represents.
-
Benefit Capital often works
with diverse shareholder groups which have different objectives
in order to develop a structure which meets the majority of
potentially competitive interests.
-
Benefit Capital has the ability
to access the appropriate financial markets in order to secure
the financing required to consummate leveraged ESOP transactions.
-
Benefit Capital has the ability
to assess future repurchase liability obligations and to implement
programs which substantially offset this impending liability.
-
Benefit Capital traditionally
performs a valuation analysis for the shareholders and utilizes
this expertise to negotiate with the ESOP advisers regarding
the value the shareholders receive as well as convince them
that this value can be prudently sustained and advanced.
-
Benefit Capital has expertise
in developing productivity enhancement programs, often in
a changing ESOP environment, that can be implemented to ensure
that the future values of non-selling shareholders are maximized.
-
Benefit Capital has the ability
to assist the selling shareholders in the reinvestment of
their proceeds in order to maximize their return.
