EMPLOYEE STOCK OWNERSHIP PROGRAM

At Team Kline, we don’t just work here, we own it. Through our Employee Stock Ownership Plan (ESOP), every team member has a direct stake in our success. Explore resources, tools, and quizzes to grow your ESOP knowledge and strengthen your ownership journey.

WHAT IS ESOP?

An Employee Stock Ownership Plan (ESOP) is a retirement benefit that makes every Team Kline employee an owner. Instead of buying stock with your own money, shares are contributed to your account over time. The stronger our company performs, the more your ESOP account grows—when Team Kline succeeds, we all succeed together.

ESOP BENEFITS

Long Term Wealth Building

With an ESOP, you gain an ownership stake in the company without investing your own money. Shares are contributed to your account, and as the company grows in value, so does your account.

Earned Retirement Security

Your ESOP account is a retirement benefit, similar to a 401(k). It’s designed to provide security for your future by giving you a nest egg built from the success of the company.

Stronger Teamwork/Culture

When everyone is an owner, we all share the same goal — making the company successful. This ownership mindset fosters collaboration, accountability, and pride in our work.

Shared Success in Company Growth

In an ESOP, wins are shared. When the company performs well — through strong projects, excellent customer service, and smart decisions — the stock price increases, and every employee-owner benefits.

HOW IT WORKS

Enrollment

You'll join the Employee Stock Ownership Program on January 1st or July 1st after meeting the following eligibility requirements:

Must be of legal age, 18 years old.
Completing one year of service (12 consecutive months with at least 1000 hours worked).

Temp or contracted employees are not eligible to participate in ESOP.

How Stock Price is Set Each Year

ESOP shares are not traded on the stock market like public company shares.
The value of shares is reviewed once a year by an independent, third-party appraiser.
This process ensures the price is fair, accurate, and unbiased.
As Team Kline grows and becomes more profitable, the stock price can increase.
A higher stock price means the value of your ESOP account also grows.

What is Vesting

Vesting is the process of earning the right to keep the shares (or benefits) that have been allocated to your ESOP account:

When you first qualify for the ESOP, shares are set aside for you each year.
You only fully “own” those shares once you are vested.
Vesting is based on your length of service with the company, following a set schedule (6 consecutive years of service).

If you leave the company before you are fully vested, you only keep the portion of shares you’ve vested in.

In simple terms:Vesting means how much of your ESOP account is truly yours to keep, based on how long you’ve worked at the company.

Annual Valuation

Each year, the ESOP stock price is reviewed and set by an independent appraiser who specializes in valuing employee-owned companies.
This process ensures the price is fair, accurate, and unbiased — no one inside Team Kline decides the value.
The appraiser looks at factors like company performance, financial results, and market conditions.
As Team Kline grows stronger and more profitable, the stock price can go up — which directly increases the value of your ESOP account.

Future Payout

Your ESOP account balance grows over time as shares are added and the stock price changes.
When you retire or leave the company, you will receive the value of the shares you are vested in.
This payout can become a significant part of your retirement savings, especially the longer you work at Team Kline.
In simple terms: the more years you stay and the more the company grows, the larger your future payout could be.

DOWNLOADABLE RESOURCES

Contribution and Participation

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