Teamshares

Teamshares

Facilitates employee ownership of small businesses

About

Teamshares facilitates employee ownership of small businesses, particularly targeting those whose owners are nearing retirement. The company purchases these businesses and gradually transfers ownership to the employees, starting with 10% of the stock and increasing to 80% over 20 years. This approach helps maintain business continuity and prevents job losses that can occur when a business is sold or closed. Teamshares generates revenue from the profits of the businesses they acquire and manage, and they also offer proprietary software, education, and financial products. By promoting employee ownership, Teamshares not only supports the financial stability of employees but also strengthens the local economy by preserving small businesses. Their goal is to redistribute $10 billion of stock wealth to hardworking Americans, ensuring a smooth transition for retiring owners and a sustainable future for their employees.

Company Stage

Debt Financing

Employees

51-200

Industries

Fintech, Social Impact

Total Funding

$214.3M

Headquarters

New York City, New York

Founded

2019


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Simplify's Take

What believers are saying

  • Teamshares has acquired over 90 SMEs, creating 2,600 employee shareholders.
  • The company secured $225 million in debt financing for expansion and acquisitions.
  • MPower Partners' investment supports Teamshares' international expansion, particularly in Japan.

What critics are saying

  • Increased competition from tech-enabled platforms like SKROL targeting small business acquisitions.
  • Potential cultural and regulatory challenges in expanding to Japan.
  • Reliance on debt financing could pose risks if acquired businesses underperform.

What makes Teamshares unique

  • Teamshares focuses on employee ownership for small businesses, a unique market niche.
  • The company gradually transitions 80% ownership to employees over 20 years.
  • Teamshares provides proprietary software and financial education to support employee ownership.

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Growth & Insights
Headcount

6 month growth

6%

1 year growth

0%

2 year growth

5%

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