Many employees dream of owning a significant chunk of the company they work for. The workers at Electro-Matic Products recently made that dream come true.
The Farmington Hills-based manufacturing technology company executed a move to an employee stock ownership plan, also known as an
ESOP, last fall. About 170 people and the occasional intern work there today.
"ESOP is a pretty good thing for all of the employees and the company itself," says David Scaglione, vice president of sales & marketing for
Electro-Matic Products. "It gives a solid path forward for ownership in the future."
The 42-year-old firm has handled that transition pretty expertly so far. Its revenue jumped 10 percent last year, allowing it to hire about 10 people. It now has in excess of $100 million in sales, and expectations that such growth will continue for the foreseeable future.
For instance, Electro-Matic Products' connectivity group is expanding into the machine tooling industry. It's also moving into the energy sector by selling LED light retrofits to its customers.
"It (LED light sales) is just getting started," Scaglione says. "The adoption rate in the U.S. is just under 5 percent."
Source: David Scaglione, vice president of sales & marketing for Electro-Matic Products
Writer: Jon Zemke
Read more about Metro Detroit's growing entrepreneurial ecosystem at SEMichiganStartup.com.
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