New era for The Sanctuary Project
A business which has provided lifechanging support for hundreds of young people in Yorkshire has become workforce owned.
The entire shareholding of The Sanctuary Project has been transferred by owners Debbie and Mark Clough to an Employee Ownership Trust (EOT) for its management team to take forward and create a long lasting legacy. Debbie and Mark will be remaining for the business for approximately five years.
The Sanctuary Project started as a sole trader in 2006 before becoming a limited company in 2011. It provides Ofsted regulated accommodation and support for 16 to 25 year olds, children in care and care leavers.
With five sites in and around Wakefield, its customers include Wakefield, Leeds, Calderdale, Kirklees, Barnsley and councils further afield.
International accounting and advisory group Azets in Yorkshire provided deal and tax advisory services and law firm Ward Hadaway provided legal advice.
The team comprised corporate finance partner Tariq Javaid and corporate finance manager Adam Mulla from Azets UK and Adrian Ballam and Cordelia Stephens from Ward Hadaway.
Debbie Clough, Sanctuary director, said: “Launching and building The Sanctuary Project over the past two decades years has been the most rewarding experience of my life.
“Together, our passionate and committed team have helped hundreds of young people realise their potential and lead fulfilling and happy lives.
“The time is now right to hand the company to its employees and let the management team take it into the next exciting stage of its development.”
Mark Clough, Sanctuary director, said: “Transferring to an EOT ensures continuity of service and high quality care for the young people we support.
“Importantly, it also means The Sanctuary Project’s distinctive culture and strong values live on for next chapter in its life. Our thanks go to Azets UK and Ward Hadaway for their advice and expertise throughout the process.”
Azets corporate finance partner Tariq Javaid said: “It has been a privilege to support Debbie and Mark Clough in the sale of The Sanctuary Project to an EOT as part of their succession planning.
“It will allow the management team to take the business forward and create long lasting legacy at a business which makes such a valuable difference to the lives of so many young people. My congratulations go to all involved.”
Sanctuary is based in Bradford Road, Wrenthorpe, Wakefield, west Yorkshire, with 32 employees.
Its services include accommodation and support for those leaving care; family supported living for expectant mums, parents and babies, and families and babies; outreach support; independent living skills; group support; education, employment and training support.
Its facilities include shared houses and flats for young people to make the transition into independent living.
EOTs have been growing in popularity since they were introduced by the government in 2014.
An EOT structure enables a company to become owned by its employees through the creation of a trust which becomes the majority owner of the business.
EOTs can be an effective means of succession planning and a tax efficient alternative to more conventional exit routes for shareholders.
According to the Employee Ownership Association, there are 2,470 employee owned businesses in the UK.
Azets has three offices in Yorkshire, in Leeds, Bradford and York, where it employs 335 people.