Enriching Lives by Supporting Independence

EON, Inc., 1200 South Broadway, New Ulm, MN 56073, US

(507) 233-3030


- Enriching Lives by Supporting Independence -

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Success in Succession


EON, Inc. an employee owned organization through an Employee Stock Ownership Plan (ESOP) is looking for ways to expand the benefits of employee ownership and our organizational ownership model within Human Services industry. An EON as defined is an indefinite and very long period of time. Our hope and desires are that our Employee Ownership Network will stand for a long period of time. 

EON will provide a mechanism for owners to transition legacy and ownership of their company to employee ownership without having the burden of the huge costs and liability associated with setting up their own Employee Stock Ownership Plan (ESOP). Our industry is robust because of the choices and unique design of provider services. In seeing significant value in the diversity and designs of providers our goal is to continue continuity in services for those served and provide choice in service design for individuals when owners are looking to sell their businesses and to be an alternative to consolidation of a business owners services and loss of legacy into a large corporate identity.   

How it works


Through EON, we will extend the benefits of employee ownership via the sale of an organization to EON. EON will replace the departing owners and consolidate under the networks executive leadership and administrative functions of the organization such as provider enrollment, billing, payroll, accounts payable etc. Additionally, sharing of the best service practices for licensing, training, as well as increased efficiency for all within the employee ownership network. The intent, when appropriate, is to retain the identity and design of services as well as the current management staff and employees. Being part of an employee owned culture will bring new investment through strategic ownership culture creation within the organization. Employee owners then benefit through the ESOP for their dedication and excellent work. 

Our Proven Process

EON, when given the opportunity, will evaluate an interested business structure and financial performance and determine if inclusion in the network is feasible and in the best interest of both organizations. To maintain the best interest of both organizations involved, the first step in the process will include signing of a non-disclosure agreement. EON will then request current and previous financial statements and documents that demonstrate the financial performance of the selling organization over the last several years. If the transfer of real estate is desired and involved EON may involve a third party for consideration of acquiring real estate property to lease back to EON. 

There are a couple of methods available for a transaction. Our preferred transaction method is Ownership transfer, This Method is beneficial to the selling organization and the network, through a process like an ESOP transaction without the associated costs. The process utilizes the proceeds and cashflow of the organization to fund the transaction. EON will calculate, and the seller may also submit the selling organizations EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) to determine and project the cashflow available for the transaction. EON will determine a reasonable valuation of the organization and property, if included, and submit a letter of intent to purchase to the selling organization. If an agreement is achieved, we will conduct final due diligence process which, based on the size of the selling organization, may include a formal valuation or appraisals of property by independent third-party organizations. We will then finalize a purchase agreement and close the transaction. This process can take as little as 90 days or as long as a year depending on the size of the selling organization. Our goal is always to move as quickly as possible for the best interest of all parties involved.

Decisions on other transaction options, to include whether to complete the transaction as a stock sale transaction or an asset sale transaction, is often dependent on the size of the selling organization and is otherwise negotiable. EON will evaluate potential liability carry over that could determine the need for a preference for an asset sale transaction. Different methods of financing a transaction may also be considered and negotiated to include use of institutional financing.

Already Employee Owned?

Join our Network by partnering with us to provide for efficiency and to empower the employee ownership model. Customizable arrangements for organizational, financial, or plan management. 

Our Recent Transition Successes

Gleseners Assisted Living 2016

Lighthouse Lodge 2018

# More coming!