Aberdeen firm International Doors and Windows (IDW) has joined the growing band of north-east companies owned by their employees.
IDW, which has been supplying major construction operators throughout Scotland since 2006, is now under the control of staff.
The firm’s two main previous shareholders, Garry Davidson and Scott Paterson, agreed their exit plan should focus on an employee ownership trust (EOT).
Their decision secures the future of the business in the long term and rewards a 12-strong team who, with the support of a large and strong contractor base, have contributed to the company’s growth.
A sale to a trade buyer was the most obvious option and would likely have delivered a more lucrative outcome for us.”
Garry Davidson, former co-owner, International Doors and Windows.
Mr Davidson, 61, said: “This is a great business and I’m delighted with how much we have achieved over the years.
“As Scott and I looked ahead to retirement in the future, we were considering our options.
“A sale to a trade buyer was the most obvious option and would likely have delivered a more lucrative outcome for us.
“But we knew that wasn’t what we wanted. We have an amazing team here and some very sound customer relationships.
“By selling to an EOT we hope this will continue and the company will go on to even greater things under the stewardship of the staff.”
We know the company will be in safe hands for the future.”
Scott Paterson, former co-owner, IDW.
Mr Paterson, 60, added: “Some of our staff have been with us since day one.
“By taking this route, we know the company will be in safe hands for the future. It really is the best outcome for all parties involved.”
Employee ownership expert Carole Leslie, of Ownership Associates, provided specialist advice in the deal.
Ms Leslie said: “Aberdeen is home to a number of successful employee-owned companies – such as Woollard & Henry, Accord Energy, Houlder Marine and several others.
“It has been such a pleasure working with the firm on its transition. It is a great business with a very positive future. This really is good news for the employees and customers.”
‘Perfect succession solution’
Professional service firms Azets and Blackadders also advised on the deal.
Graham Cunning, Azets’ head of corporate finance in Scotland, said: “A sale to an EOT was the perfect succession solution for Garry and Scott.
“Both want to phase their exit from the business, confident the company will continue to grow and flourish.”
Blackadders corporate partner, Peter Duff said: “We are seeing an increasing number of business owners choosing a sale to an EOT as their exit strategy.
“The model certainly ticks a lot of boxes, providing a tax-effective exit for the shareholders, and minimal disruption for employees and customers.”
Operations in Aberdeen and Cumbernauld
IDW is a trade supplier of windows, doors, stairs, and manufactured doorsets.
The company’s headquarters are on Mugiemoss Road and it also has a showroom in Cumbernauld, serving clients in Glasgow, Stirling, Edinburgh and the north of England.
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