Posted Date: 08/27/2012
When Atlantic Fasteners, a wholesale distributor of commercial and aerospace fasteners, took out a bank loan in 2005 to purchase the company from retiring founder Patrick O’Toole and his partners, the loan was to take 12 years to pay back.
It took only six and a half years.
How did Atlantic pay off the loan almost twice as fast? Sales growth and sound financial management were certainly important, but as statistics on employee-owned companies show, those weren’t the only contributing factors.
“Studies have found that ESOPs perform better and I think there’s a lot of validity to that,” Atlantic Fasteners Comptroller Gerry Nolan says. “ (…)
