Baton Rouge, LA, January 20, 2008 --(PR.com
)-- Dynasty Capital Advisors, a Louisiana-based ESOP advisor has begun offering expansion capital to successful private companies throughout the country. According to Rogers Smith, the firm’s president, Dynasty has used ESOPs (Employee Stock Ownership Plans) for more than a decade to assist business owners in selling their companies. This new service offering is a logical extension to the firm’s existing ESOP services and expertise. By using an ESOP to raise capital, a company can lower its borrowing costs, increase company value, establish a private stock market for its shares, and retain and motivate valued employees. Used as a borrowing vehicle, the ESOP provides an alternative to traditional venture capital, which normally requires a share in company control.
ESOPs were established by Congress in 1974 to provide a way for company employees to acquire ownership stakes in their employers, while providing selling shareholders considerable tax relief on the sale proceeds. In fact, Louisiana’s own Sen. Russell Long was pivotal in championing the ESOP concept on Capitol Hill. Today, there are more than 11,000 ESOPs in place, controlling over $500 billion in assets, according to Corey Rosen, executive director of the National Center for Employee Ownership of Oakland, CA.
Dynasty Capital Advisors is an investment banking firm and ESOP specialist headquartered in Hammond, Louisiana, with offices in Atlanta, Chattanooga, Dallas, Mobile, Miami, and Washington, DC. Its services focus on using employee stock ownership plans to benefit private business owners, their companies, and company employees.