Tibard Group, a £10 million turnover family business that designs and manufactures staff uniforms, has made the move to employee ownership.
The business, which serves sectors including hospitality and healthcare, was founded by John and Sue Shonfeld in a spare room in 1979.
It now boasts seventy staff from its Greater Manchester base. Marking its forty-fifth year, the founders and senior management team sold their shares to an employee ownership trust (EOT) back in October.
“The senior management at Tibard Group decided that the time had arrived to change direction, and the opportunity to hand control to the staff through an employee ownership trust was the optimal solution,” said John.
He added that the move allows “the continuity of the business at the same site and recognising the work and of long service of existing members of staff and management.”
Making the Move
Succession has been on the cards for a few years now, but it wasn’t until discovering EO that the process moved into gear.
“As a predominantly family-owned business, we started to discuss succession planning in late 2022 after receiving several trade enquiries,” said MD Ian Mitchell.
“However, we weren’t confident that this would provide continuity and stability to our workforce. We then stumbled across the concept of employee ownership, and the more we read the more we started to understand the concept.
“We developed relationships with businesses who had already transitioned to EO, and through consultation, finally decided that this route was the very best for all stakeholders.”
The move follows a deal in the summer which saw Tibard’s laundry rental division sold to a national laundry group.
According to Ian, once the sale was completed it was “full steam ahead” to achieve a successful transition.
“We are now fully geared up to focus on our direct sale operations and are looking at some significant projects for the coming months,” he said.
“We’ve also recently strengthened our business development team, so we are in a good position to capitalise on the vast opportunities out there.
“It’s a very exciting time for the company, and the transition to an EOT has been well-received by staff.”
Advisors from eoa Supporter member HURST worked on the EOT deal and included Ben Bradley at HURST Corporate Finance and Liz Gallagher, Sarah Haley and Jennifer Escott in the tax team.
Structuring the EOT Board
Although the exact financials haven’t been revealed, the Group have confirmed that Ian Mitchell, Finance Director Denise Shacklady, and Operations Director Andy Shakleton continue to lead the business.
John Shonfeld, who had previously served as Chairman, remains involved in the business as a Trustee on the EOT board.
Elsewhere, Dave Wilson has joined the EOT board as an Independent Trustee.
Building on a Family Legacy
As a family business, EO enables the preservation of the culture and values John and Sue built over for decades, ensuring their legacy for the future.
“To operate a business with longevity is no mean feat, so for John and Sue along with their sons Rick and Matt to have done so for 45 years is a fantastic achievement,” said Ian.
“We’re eternally grateful for their outstanding devotion and contribution to the business, which has in turn impacted so many lives, and we now look forward to the exciting future ahead of us as an employee-owned business and the next chapter in Tibard’s journey.
“It’s great that John is still involved as a trustee, and we wish him and all the family members the very best for the future.”