---
title: How One Small Firm Navigated the Tricky Transition from Family-Owned to ESOP
description: Learn how one small firm navigated the complexities of securing their legacy with an Employee Stock Ownership Plan.
---

[CFO Blog, CFO Resources, CFO Articles | FocusCFO ](https://www.focuscfo.com/blog)

# [How One Small Firm Navigated the Tricky Transition from Family-Owned to ESOP](https://www.focuscfo.com/blog/small-firm-navigated-tricky-transition-family-owned-to-esop)

 Written by [Lesli Matukaitis](https://www.focuscfo.com/blog/author/lesli-matukaitis) | May 18, 2025 4:30:00 AM

> “Bill [Hake of FocusCFO] helped take us from cash-basis accounting into the world of ESOPs and was instrumental in the process because it was new for all of us. Bill was able to help us focus on what was really important, and with his help, we were able to elevate and upgrade our processes and systems to align with advanced financial practices.”
> 
> *– Todd A. Pardon, CEO, French Associates, Inc.*

## **The Situation**

[French Associates, Inc](https://www.frenchaia.com/). has provided architectural, engineering, and design services in Michigan for more than 50 years — primarily in K-12 education. When the firm's owners decided to transition the closely held business to an employee stock ownership plan, they knew the complexity of the process required outside expertise. They brought in [Bill Hake, a fractional CFO](https://www.focuscfo.com/fractional-cfo-team/bill-hake) with more than 30 years of experience serving family-owned companies.

## **What We Did**

Over three years guiding French through and beyond the ESOP transition, their FocusCFO CFO:

- Transitioned the firm from cash-basis accounting to financial practices aligned with ESOP requirements
- Elevated financial systems and processes to meet advanced reporting standards
- Guided the two-year structural transition from privately held to employee-owned
- Developed planning and distribution strategy to meet ongoing ESOP retirement obligations
- Spearheaded an ERP system update to support the firm's long-term infrastructure

## **The Result**

French Associates completed a successful ESOP transition and is now in its third year as an employee-owned firm — still navigating new requirements, but with a clear financial partner guiding the way. With a robust pipeline and ambitious growth goals ahead, the work continues.

*"Bill has been the bridge between walking and running."*

— Todd A. Pardon, CEO, French Associates, Inc.

 

[View full post](https://www.focuscfo.com/blog/small-firm-navigated-tricky-transition-family-owned-to-esop)

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