Gateshead IT company Transcendit became an employee-owned business this month, when Directors signed the company over to the newly established Transcendit Limited EOT (Employee Owned Trust) on Tuesday 10th September. Director Adam Kuznesof said that the decision was made to ensure that the business ‘continued to put their employees and customers’ needs first when the current Directors retire’.
Directors Dick Davies, Tom Tinsley, Adam Kuznesof, Dave Scott and Lee Irving were apprehensive about selling the business to a third party, due to the disruption this could cause their customers and their employees. They were concerned about the potential risk to Transcendit’s reputation if a third party took over the business, as well as the possibility that their employees' jobs could be put at risk if the company was sold.
The Directors found that employee ownership aligned with the company’s ethos and culture, and would ensure the easiest transition for clients and staff. Director Adam Kuznesof said that, ‘We’re pleased to announce that Transcendit has moved into employee ownership, and believe that this decision will be enormously beneficial for our current and future employees.’
As an employee-owned business, staff at Transcendit have more influence in business decisions and have greater succession opportunities. They can also receive financial benefits, such as up to £3,600 annually as a tax-free bonus. Transcendit has established regular council meetings for employees, where an elected member of the team will give feedback, suggestions and concerns to Transcendit’s board to ensure their views are represented. Helen Littlewood, Transcendit’s Business Support Manager, was recently elected by the employees as the business’ first employee Trustee Director.
Transcendit’s Directors state that this decision will change very little for their customers, and that their intention is to ensure the longevity and stability of the company. Director Dave Scott said, ‘We’re incredibly proud of the organisation that we’ve built with our employees and customers, as well as the values that Transcendit has been built on. We believe we’ve created a great business, and after we step down, we think this will help Transcendit continue being a great business.'
