EOT Business Valuations – Independent, Confidential, Trusted

Thinking about selling your business to an Employee Ownership Trust (EOT)?

At EOValuation.co.uk, we provide independent business valuations for UK business owners considering a transition to employee ownership. Understanding the true value of your business is the critical first step in assessing the feasibility of a tax-efficient EOT sale.Our valuations are:
• Confidential and professional – your privacy is protected throughout.• HMRC-aligned – valuations designed to support the tax-free sale of qualifying shares.• Independent and objective – no hidden agenda, no selling pressure.• UK-based and experienced – we know the EOT market inside and out.Whether you're exploring your exit strategy, succession planning, or actively considering a business sale to employees, our EOT valuation services offer peace of mind and a firm foundation for decision-making.

EO Valuation for an Employee Ownership Trust

1800+

Over 1,800 businesses across the UK have successfully adopted the Employee Ownership Trust (EOT) model, and the momentum continues to grow.

0%

Exit your business through an Employee Ownership Trust and pay no Capital Gains Tax – an HMRC-approved, tax-free solution for UK company owners.

80,000+

With over £30 billion in economic contribution and more than 80,000 employee-owners, the employee ownership sector is firmly established as a credible and growing force in the UK.

Independent EOT Valuation for HMRC Compliance

Ensure your EOT transaction qualifies for 0% Capital Gains Tax relief

To meet HMRC requirements, an Employee Ownership Trust (EOT) valuation must be carried out independently and reflect fair market value. This independence is essential to demonstrate the transaction is commercially sound and not artificially inflated to maximise personal gain. At EOValuation.co.uk, our valuations are impartial, robust, and designed to withstand scrutiny from HMRC, legal advisers, and tax professionals. We follow best practices to protect both the seller and the integrity of the EOT structure.

Fair Market Value Principles for EOT Transactions

Achieve a realistic and justifiable business valuation

An EOT sale must be based on what is known as Fair Market Value (FMV) — the price a hypothetical willing buyer would pay and a willing seller would accept in an open market. This valuation standard ensures the sale is legitimate and free from manipulation. We use multiple recognised valuation methodologies, including earnings multiples, discounted cash flow, and sector comparisons, to provide a detailed and supportable valuation. This avoids overvaluation that could breach HMRC rules and undervaluation that might reduce the seller’s return.

Your EOT Valuation Determines the Sale Price and Structure

Lay the financial foundation for the EOT deal and seller payouts

The outcome of your valuation will directly affect the sale price to the Employee Ownership Trust, which in turn defines the payment structure and timing. Sellers are often paid in instalments, funded through future company profits. A well-judged valuation ensures that the business can afford to repay the trust over time while continuing to operate successfully. It also helps avoid disputes between trustees and beneficiaries and supports external finance applications if bridging loans or bank funding are needed.

EOT Valuation Supports Tax-Efficient Deal Planning

Maximise seller returns and structure tax-advantaged payments

A properly structured EOT valuation ensures the transaction qualifies for generous tax reliefs, including 0% Capital Gains Tax for qualifying owners. It also supports planning around corporation tax, trust repayment schedules, and employee bonus schemes. Our valuation reports are designed to work hand-in-hand with legal and tax advisers to form the basis of a fully compliant and commercially sound EOT structure.

EOT Valuation is the First Step in Feasibility and Succession Planning

Gain clarity and confidence before committing to the EOT process

Before deciding whether an Employee Ownership Trust is the right exit route, business owners must understand the likely value of their business. Our EOT valuations form the foundation of wider feasibility studies, giving stakeholders – including founders, shareholders, advisers, and trustees – a clear picture of what the transaction would look like in practice. This supports informed decision-making, aligns expectations, and helps manage risk.

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