Subsequently, Bruce added three partners via a merger in the 1990s: Cal Simmons, Randy Morgan, and Bill Finley. Knowing that they would eventually have to securely monetize their equity, the firm’s leaders began exploring ESOPs as a fair alternative to traditional methods of carrying out that transaction. “The advantages of an ESOP transaction were really appealing because it de-risked the business much faster. It got sellers their proceeds faster and accomplished their goal of transferring equity to an internal group of people,” says President and Chief Financial Officer Charlie Christensen. So, in 2005, Christensen Group conducted a 100% equity transaction that yielded fantastic results for both employees and the firm itself. At the time of the transaction, the Christensen Group had 50 employees, but it has continued to scale and now has an impressive 215 employees. With such valuable equity as the reward, the firm focuses on evaluating the quality of each new employee it brings on board. “We have a particular focus on seasoned insurance talent… that’s the focal point of our growth strategy. We look for highly technical consultants we can bring in who can bolster our brand,” Christensen says, confirming that much of the firm’s brand reputation hinges on the quality of advice and deliverables of its consultants. The Christensen Group’s ESOP status is certainly a major reason for its ability to secure such talent. Many of the firm’s competitors are either publicly traded or have been sold to private equity firms, so much of the potential for equity ownership is lost. However, that isn’t the case with Christensen Group Insurance. “It’s extremely rewarding for the people who work with us compared to our peers, so I think that helps us attract and retain better talent that delivers a better customer experience,” Christensen says. Christensen Group Insurance is very thoughtful in its 92 BUSINESS VIEW MAGAZINE VOLUME 12, ISSUE 02
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