Popular on TelAve
- A New Day for Fixed Wireless Access (FWA), BEC Unveils the AirConnect® 8243 High-Power 5G mmWave Outdoor Router
- Guaranteed Full Price Home Sale in Phoenix West Valley! Sell Your House For Top Dollar Without The Hassle of Listing or Showings!
- Working Knowledge Acquires jLAN, a Direct Store Delivery software company
- Internet 2.0 Conference Talks About Scams & Fraud In The WFH Culture
- Central Ohio Realtor Introduces New Marketing For Better Prices In Difficult Market
- Patricia Hill Of Patricia Hill Color Studio, Honored As Kennesaw's 2023 Local Business Person Of The Year
- With a Two-Year Revenue Growth of 441% Ironside Human Resources Ranks No. 38 on Inc. Magazine's Southwest Region's Fastest-Growing Private Companies
- Stellar Award-Winner Isabel Davis Soars Up the Charts and Co-Hosts the 2023 Soar Awards
- Accendo's Talent Intelligence Platform Secures Pre-Series A Funding from The Hive SEA and OSK Ventures
- BioSafe Systems Celebrates 25 Years of Positive Change
Similar on TelAve
- Doug Brownridge Joins STS Capital Partners
- CSC Motorcycles Announces New Twin Cylinder 650cc Sport Touring Model
- The In-N-Out Burger Financial Planning Story
- Cash Depot Appoints Tony Gaines as Chief Revenue Officer and Brand Ambassador
- The Tokyo Rebels Announces the Release of Their Groundbreaking Whitepaper
- February 2023 Financial Market Review
- Empowering SMEs: Innervation's Supply Chain Finance Solutions for Diverse Business Growth
- AdvisorVault Partners With Compliant Workspace to Help FINRA Firms Achieve 17a-4 Compliance on Microsoft 365
- The expansion continues at Right Cars Global Rentals as it officially announces its opening in the Dominican Republic
- Kobie Named a Leader in Latest Loyalty Technology Report by Independent Research Firm
Texas Automotive Lift & Equipment Distributor chooses Employees Ownership
TelAve News/10778154
ALVARADO, Texas - TelAve -- After 19 years in business, Tuxedo Distributors, Inc, one of the largest importers of automotive repair equipment in North America, is pleased to announce a sale and transition to a 100% Employee-owned company.
"Our employees have been the backbone of this business, and it gives me great joy to see them become owners of the company they have helped build," said Steve Swink, Founder & CEO of Tuxedo Distributors. "The Employee Stock Ownership Plan (ESOP) is a perfect way to reward their hard work and dedication."
Steve & Marg Swink retained RBG Capital (www.rbgcap.com), a Scottsdale AZ based Investment Banking and Wealth Management firm, to explore succession alternatives including Private Equity, Synergistic Buyers and an ESOP. Utilizing their Dual Path sale process solution for 3rd party buyers and an ESOP feasibility concurrently, the Swinks opted to sell to their employees, "those who got us here deserve an opportunity to participate in the future upside of their hard work and efforts," shared Mr. Swink.
An ESOP is a type of employee benefit plan that provides employees with an ownership stake in the company. As a qualified Pension Plan, which owns 100% of S Corporation shares, the Company will not incur Federal or State Income Taxes for as long as the ESOP owns the shares. This provision makes ESOPs particularly attractive as an alternative buyer to Private Equity.
More on TelAve News
"ESOPs are not a solution for every owner's succession objectives, but when they are a fit there is no stronger transaction strategy out there" shared Michael Walling, Managing Director of RBG Capital. "Through the ESOP, the government becomes the company's financial partner, directing what would have been tax dollars towards paying off the acquisition debt more efficiently."
"On behalf of all the employees at Tuxedo we offer a heart felt thank you to Marg and Steve Swink for their years of dedication and the amazing opportunity they have offered all of their employees," said Leslie Schmidt, President of Tuxedo. "Over the last year, I have come to the conclusion that there is not a finer group of people to work with than these employees. We are excited to start this new opportunity!"
The transaction financing was provided through Comerica Bank. "We are honored to provide senior financing for our longtime customer Tuxedo Distributors," said Freddy Espericueta, Comerica Bank Senior Vice President, Group Manager for Commercial Banking. "It is particularly rewarding any time Comerica can support an employee ownership deal."
Participating in an ESOP program means employees are collectively owners of the company and benefit financially from a job well done. In this way, there is direct incentive for employees to work hard and take even more pride in what they do.
More on TelAve News
About Tuxedo Distributors
Founded in 2004, Tuxedo Distributors, LLC, is a master importer and leading supplier of high-quality, affordable automotive lifts and other repair equipment and accessories. Tuxedo Distributors is headquartered in Alvarado, TX providing global distribution with focus primarily across the United States and Canada. For more information contact Matt Kahla at 817-558-9337 or mattkahla@tuxedodistributors.com.
About RBG Capital
Founded in 1986 and headquartered in Scottsdale, AZ, RBG Capital is a wealth advisory and sell-side Investment Bank, representing entrepreneurial business owners throughout the US. For more information, please visit us at www.rbgcap.com or contact Tim sperling, Director of Business Development at tsperling@rbgcap.com or 480-386-0309.
About Comerica
Comerica Bank is a subsidiary of Comerica Incorporated, a financial services company headquartered in Dallas, Texas, and strategically aligned by three business segments: The Commercial Bank, The Retail Bank and Wealth Management. Comerica focuses on relationships, and helping people and businesses be successful. In addition to Texas, Comerica Bank locations can be found in Arizona, California, Florida and Michigan, with select businesses operating in several other states, as well as in Canada and Mexico. Comerica reported total assets of $85.4 billion as of Dec. 31, 2022
"Our employees have been the backbone of this business, and it gives me great joy to see them become owners of the company they have helped build," said Steve Swink, Founder & CEO of Tuxedo Distributors. "The Employee Stock Ownership Plan (ESOP) is a perfect way to reward their hard work and dedication."
Steve & Marg Swink retained RBG Capital (www.rbgcap.com), a Scottsdale AZ based Investment Banking and Wealth Management firm, to explore succession alternatives including Private Equity, Synergistic Buyers and an ESOP. Utilizing their Dual Path sale process solution for 3rd party buyers and an ESOP feasibility concurrently, the Swinks opted to sell to their employees, "those who got us here deserve an opportunity to participate in the future upside of their hard work and efforts," shared Mr. Swink.
An ESOP is a type of employee benefit plan that provides employees with an ownership stake in the company. As a qualified Pension Plan, which owns 100% of S Corporation shares, the Company will not incur Federal or State Income Taxes for as long as the ESOP owns the shares. This provision makes ESOPs particularly attractive as an alternative buyer to Private Equity.
More on TelAve News
- Doug Brownridge Joins STS Capital Partners
- CSC Motorcycles Announces New Twin Cylinder 650cc Sport Touring Model
- 4Freedom Mobile Acquires Volta Wireless
- Cargill joins Selerant on stage at American Food Innovate 2023
- The In-N-Out Burger Financial Planning Story
"ESOPs are not a solution for every owner's succession objectives, but when they are a fit there is no stronger transaction strategy out there" shared Michael Walling, Managing Director of RBG Capital. "Through the ESOP, the government becomes the company's financial partner, directing what would have been tax dollars towards paying off the acquisition debt more efficiently."
"On behalf of all the employees at Tuxedo we offer a heart felt thank you to Marg and Steve Swink for their years of dedication and the amazing opportunity they have offered all of their employees," said Leslie Schmidt, President of Tuxedo. "Over the last year, I have come to the conclusion that there is not a finer group of people to work with than these employees. We are excited to start this new opportunity!"
The transaction financing was provided through Comerica Bank. "We are honored to provide senior financing for our longtime customer Tuxedo Distributors," said Freddy Espericueta, Comerica Bank Senior Vice President, Group Manager for Commercial Banking. "It is particularly rewarding any time Comerica can support an employee ownership deal."
Participating in an ESOP program means employees are collectively owners of the company and benefit financially from a job well done. In this way, there is direct incentive for employees to work hard and take even more pride in what they do.
More on TelAve News
- Cash Depot Appoints Tony Gaines as Chief Revenue Officer and Brand Ambassador
- Sip Social Co. Partners With Apé Canada For Supply Of Piaggio Apé's
- Eddie Turner is Recognized as the #9 Motivational Speaker in the World By Global Gurus!
- RE/MAX Signature Earns Top Regional Award
- Geneva Worldwide, a Leading Language Service Company, Celebrates 120 Years in Business
About Tuxedo Distributors
Founded in 2004, Tuxedo Distributors, LLC, is a master importer and leading supplier of high-quality, affordable automotive lifts and other repair equipment and accessories. Tuxedo Distributors is headquartered in Alvarado, TX providing global distribution with focus primarily across the United States and Canada. For more information contact Matt Kahla at 817-558-9337 or mattkahla@tuxedodistributors.com.
About RBG Capital
Founded in 1986 and headquartered in Scottsdale, AZ, RBG Capital is a wealth advisory and sell-side Investment Bank, representing entrepreneurial business owners throughout the US. For more information, please visit us at www.rbgcap.com or contact Tim sperling, Director of Business Development at tsperling@rbgcap.com or 480-386-0309.
About Comerica
Comerica Bank is a subsidiary of Comerica Incorporated, a financial services company headquartered in Dallas, Texas, and strategically aligned by three business segments: The Commercial Bank, The Retail Bank and Wealth Management. Comerica focuses on relationships, and helping people and businesses be successful. In addition to Texas, Comerica Bank locations can be found in Arizona, California, Florida and Michigan, with select businesses operating in several other states, as well as in Canada and Mexico. Comerica reported total assets of $85.4 billion as of Dec. 31, 2022
Contact
Tim Sperling, Director of Business Development
tsperling@rbgcap.com or 480-386-0309
***@rbgcap.com
Tim Sperling, Director of Business Development
tsperling@rbgcap.com or 480-386-0309
***@rbgcap.com
Source: RBG Capital LLC
0 Comments
Latest on TelAve News
- Congressman Mark Alford endorsed by Veterans for Trump on his 2024 re-election
- February 2023 Financial Market Review
- Bicycle Sunshade Expands Product Line with Two New Colors
- The Past Reflects A Future - Daniel Imperato 2024 Is Back Again. Which Party?
- Fridge Art Fair New York City May 2023
- Empowering SMEs: Innervation's Supply Chain Finance Solutions for Diverse Business Growth
- AdvisorVault Partners With Compliant Workspace to Help FINRA Firms Achieve 17a-4 Compliance on Microsoft 365
- The New Real Estate "Just Looking" Program Is A Big Hit With Atlanta Area Residents!
- Introducing Music360, the New Social Music Streaming App
- Marsha Gay Reynolds Shares Insights on In-Home Care Post-Pandemic
- IOTech announces a new release of Edge Xrt, its high performance data connectivity solution for industrial systems
- ANIMAL RIGHTS PROTEST at The Animal Foundation of Las Vegas
- Graphis to Publish Kit Hinrichs' New Book: Narrative Design
- The expansion continues at Right Cars Global Rentals as it officially announces its opening in the Dominican Republic
- King Me: Loving and Leading in a Wounding World Releases March 15, 2023
- The Official Drink Of Juneteenth Atlanta 2023
- DCA Virtual: Two Decades Since the SBA Has Been Reauthorized – Is This the Year?
- Universal Sequencing Technology Corporation Launches High-Throughput Solution For Microbial WGS Library Preparation
- Kobie Named a Leader in Latest Loyalty Technology Report by Independent Research Firm
- Cat and Kitten Adoption, Saturday, April 29th Douglas Infiniti 430 Morris Ave. Summit, NJ