EOT, sometimes called Perpetual Employee Trust, safeguard's employee ownership by combining a trust with aspects of a worker cooperative. Such structures ensure perpetual ownership by employees. EOT offers a lot of flexibility in designing a structure specific to the needs of the business. EOT typically have lower setup and administrative costs. They are free to employees. However, they are not as tax efficient as other forms of employee-ownership.
Glossary
EOT
Definition
An Employee Ownership Trust (EOT) is a legal structure where a trust holds company shares for employees' benefit. It gives them a stake in the company, potentially sharing profits and fostering a sense of ownership.