Overview
Established in Greater Boston more than 70 years ago, Fitzgerald Tile has expanded to become a regional supplier of flooring tiles to installers, family-owned flooring stores, and the architectural and design communities across New England. The company provides tiles from domestic and international vendors for a wide range of applications, from residential and commercial projects to civic, institutional and corporate developments, among others. Business leaders believe that the commitment of their designers and professionals to a customer’s vision and satisfaction has driven the consistent success of the company.
Situation
Fitzgerald’s owners sought a business transition plan that would provide future growth rewards to its employees, sustain expansion in key markets, and allow for an ownership exit strategy and liquidity event for key stakeholders. After thorough analysis, a 100% employee stock ownership plan (ESOP) became the clear objective.
Solution
Fitzgerald engaged SES ESOP Strategies along with its affiliated law firm, Stevens & Lee, to structure the new ESOP plan. SES conducted financial due diligence and modeled the proposed ESOP plan. Attorneys from Stevens & Lee helped to prepare the ESOP transaction and its documentation and worked to ensure that a Stock Appreciation Rights Plan would reward future company leaders.
“I’m proud that we could solidify our employee-centric legacy and reward our professionals through ESOP ownership,” said John Fitzgerald, President of Fitzgerald Tile. “SES and Stevens & Lee helped us clear complexities surrounding this important transition and paved the way for our employees to invest in the future of what is now their business.”
For more information, please contact Jim Steiker, Chairman, at 215.508.5643, or Chris Wingard at 215.508.5633.