Retiring owner gives company to staff

Retiring owner gives company to staff

Classic Motor Cars, which had a turnover that exceeded £5million last year, has been given to staff.

The company, which restores classic cars such as Jaguars, has a workforce of over 60 people.

The company has become an Employee Ownership Trust (EOT), which means that the staff will now own and run the business themselves.

Peter Neumark, who has owned the firm since 1993, said: "I am nearer 70 than 60 and Nick Goldthorp, who founded this great business with me and has been largely responsible for where we are today, is now approaching retirement age, so we felt we had a duty to oversee a passing of responsibility, and who better than the workforce themselves."

As a result, the majority shareholding was transferred to the EOT, effectively giving staff control of the company.

“This sort of structure, best exemplified by the John Lewis Partnership, was deemed to be the best home for the company to ensure its future, safeguarding the jobs of its highly skilled workforce and providing stability for future growth and prosperity,” Neumark added.

"Virtually every example of an EOT business we looked at showed greater profitability, greater productivity, better staff retention and, ultimately of course, happier customers. I am extremely proud of what we have achieved and I look forward to watching the company continue to set the standards for world-class car restoration."

Tim Leese, who is the Managing Director of the new Board, added: “These are very exciting times. The whole team is very grateful for Peter’s generosity. Everyone looks forward to making a greater contribution to the company’s future success.” 

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Comments (1)

  • Anonymous
    Thu, 10 Nov 2016 5:22pm GMT
    Now that's the sort of behaviour you can respect. I imagine their pension fund is intact too.

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