Kitchen, bedroom and bathroom furniture manufacturer JJO has announced it became an employee-owned business on March 2, 2021 and is now majority owned by an Employee Ownership Trust (EOT).

Managing director Stephen Greenhalgh

The existing shareholders have sold 67% of the shares to this newly established trust, with much of the consideration deferred over the next 15 years.

It means the business will continue as usual and employers will have a say in how the company is run.

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JJO has been in the hands of the Greenhalgh family for half of its 150-year history.

The original owners have been succession planning, to look at the best way to take the company forward.

This decision was led by a desire “to sustain the company’s independence and values, whilst recognising the efforts of its employees and their massive contribution to JJO’s considerable success”.

Over 50% of its employees been with the company for 10 years or more, and 70 have amassed at least two decades of service, with multiple members of the same family working for the business.

Managing director of JJO Stephen Greenhalgh said: “Although Gill and I remain committed to the business we realised that the next generation are many years away from acquiring the skills to operate such a large and complex operation. So there was no natural exit strategy.

“Involving private equity was not something we wanted to consider.

“A trade sale, whilst attractive for shareholders, would not have guaranteed jobs for our brilliant team or ensured that our Father’s legacy lives on.

“Following professional advice it seemed an Employee Ownership Trust would provide a ‘best of both worlds’ solution – safeguarding the continuity of the business and enabling the shareholders to extract some value (whilst maintaining an ongoing stake) as well as securing the future well-being of JJO’s extended family.”

Joint managing director Lee Greenhalgh, who joined the company in 1977, will be stepping back from day-to-day involvement.

However the existing executive board will remain in place for the medium term with Lee Greenhalgh taking a non-executive role in the longer term.

Stephen Greenhalgh stated: “It will be business as usual but better – no deviation from the JJO ethos and unswerving pride in delivering products customers want, when they want them.”

Founded in 1876, JJO now produces over 600 kitchens, bedrooms and bathrooms every week and  holds over £7m of furniture stock.

It also has a range of appliances, sinks taps and other accessories to offer a ‘one stop shop’ for many of their customers.

JJO employs 330 people, which operate from a 1.2 million square foot base in Bacup, Lancashire, and the company recently invested £750,000 in a trade outlet.