Communications agency transitions to employee ownership

The owners of a Greater Manchester based communications agency have sold the company to its employees, to reward and develop them following 15 years in business.

Creed Communications specialises in marketing support for employer branding, people communications and talent attraction. The business was established in 2007 by shareholders Caroline Hill and Simon McLoughlin, who will continue to lead the business as working directors.

The firm, which counts Iceland, Jaguar Land Rover and Vodafone among its clients, has grown its headcount over the last decade to 20 employees. It plans to hire more experts to support organic growth under the new employee-owned model.

The specialist EOT team at Brabners and Xeinadin group firms (Xeinadin Corpoarte Finance, Kay Johnson Gee taxation advisory and Philip Carrol accountants) advised Creed Communications on the deal and establishment of the firm’s new employee ownership trust (EOT).

It follows two years of high demand for the company, which has helped businesses with employee engagement and recruitment strategies as they’ve faced skills shortages and ‘the great resignation’ phenomenon following the pandemic.

Caroline Hill, director at Creed Communications, said: “Our talented people make all the difference to our company and clients, and so it’s fitting that after 15 successful years in business that we should reward and recognise their contribution by moving to an employee-owned model.

“This move ultimately sets us up to look ahead to the next 15 years of business and beyond, as we develop our experts and leaders for the future, remain agile and independent and support more organisations as they grapple with the constant and changing demands of the employment market.

“Moving to employee ownership is becoming more popular, but it remains a path that’s not well-trodden. The expertise and pragmatism of our advisers at Brabners and KJG ensured that we secured a deal that sets us up for a bright future.”

Stephen Hadlow, corporate partner at Brabners, said: “Since founding the business, the people-focused ethos fostered by Simon and Caroline has been absolutely key to Creed’s success. Becoming an employee owned business is a natural next step for Creed in that it preserves a hard-won cultural identity and independence – and will allow the business to retain and attract talented individuals for the future.”

Steven Lindsay, director at Xeinadin Corporate Finance and Kay Johnson Gee, part of the Xeinadin Group, said: “Xeinadin are delighted to have advised Creed on their employee ownership trust deal. Our Xeinadin Corporate Finance, Kay Johnson Gee Taxation and Philip Carrol Accounting teams were all part of the journey as we introduced the idea then helped execute it effectively. We are sure the deal is another example of the value of EOT deals for shareholders and their businesses in allowing further development of their already successful operations.”