SVA's Tax Plan Strategy Expertise Benefits Barnes, Inc
Since its founding in 1981, Barnes, Inc. has grown to over 125 employees with annual sales exceeding $8.5 million. Barnes offers a full range of landscape, lawn maintenance, fertilizer and weed control, snow removal and holiday lighting services for commercial and residential properties.
“I was looking for a firm that was a good fit – personality wise – with our core group of managers,” stated Mark Barnes, President/CEO of Barnes, Inc. “We needed someone to mentor our young managers so they would be able to reduce the costs that were within their control (labor and materials), and manage costs (gas and salt) that they cannot control but that affect our profitability. I also was looking for a firm with forward-looking tax planning strategies.”
“We have not been disappointed,” confirmed Barnes. “We have monthly managers' meetings with our SVA principal to review performance, as well as to institute changes to improve bottom line income. He has become an invaluable resource for us, as has SVA as a firm. We know where to go to get answers to our questions.”
As Mark was looking to retire, he knew he wanted to ensure his employees would retain their jobs and that the company would thrive into the future. Working with SVA, Mark and his wife started the process of converting Barnes, Inc. into an Employee Stock Ownership Plan (ESOP). “My biggest focus was on taking care of my employees and leaving a legacy for them and their families,” says Barnes.” We started reviewing our options to develop an ESOP many years ago, but at that time it wasn’t financially feasible. SVA helped us improve our cash flow and processes and knowing what our goal was, they helped us to get to our end goal of selling to our employees.” In June 2018, the goal was achieved and Barnes, Inc. is now 100% employee owned. “SVA was instrumental in helping us along the way to make sure the company would prosper and I could retire knowing that my employees would be taken care of. It’s a great feeling to achieve a goal we have been working toward over the past few years,” says Barnes.