Brooklyn-based fintech startup, Teamshares, aims to address the lack of succession plans in small businesses by acquiring retiring owners’ companies and promoting employee ownership. Teamshares installs a new president, trains them, and grants employees 10% of the business’s stock, with a promise to increase ownership to 80% within 20 years.
The company generates revenue from various fintech products, such as insurance and credit cards, that it sells exclusively to the acquired businesses. Teamshares aims to eventually expand its offerings to other small businesses and plans to stay independent, with a potential future IPO.