FNBO Launches ESOP Lending Practice to Help Business Owners Secure Their Legacy

FNBO (First National Bank of Omaha) (fnbo.com/esop) has launched an Employee Stock Ownership Plan (ESOP) lending practice, expanding the bank’s capabilities to serve middle market business owners navigating the transition to employee ownership. The practice provides ESOP financing, capital structuring and advisory support to privately held companies across the Midwest.

The launch comes as many Baby Boomer business owners approach retirement and consider how to transition the companies they have built. An ESOP can provide owners with a meaningful liquidity event while allowing employees to become owners and preserve the company’s culture.

According to the National Center for Employee Ownership, more than 6,600 ESOPs in the U.S. represent 15.1 million participants and more than $2 trillion in assets. NCEO research also found that workers in ESOPs have 33% higher median wages and 92% higher median household net worth than comparable workers without employee ownership.

Leading the practice is Chad Schaller, senior director of ESOP lending, who brings nearly two decades of middle market lending experience. He has held senior roles at JPMorgan, Wells Fargo and Associated Bank.

“FNBO’s ESOP lending practice is built to serve every ownership constituency throughout the entire transaction and beyond,” said Schaller. “Employee ownership is the beginning of a long-term financial journey. Sellers get one outcome while employee owners live with the structure long after the deal is done. Both deserve the same quality of analysis.”

Learn more about ESOP lending at fnbo.com/esop.