This installment of the ESOP Employee Accelerator Spotlight series features HdL Companies, a 100% ESOP-owned pioneer and leader of auditing, operations and revenue solutions for public agencies, headquartered in Brea, CA. Integral to HdL’s ownership culture is the idea that their work creates value not only for the company but also for one another and the communities they serve. The educational and communications programming that they foster motivates employee owners to look at the big picture, take pride in their work, and approach it with a greater sense of purpose.
How would you describe the ownership culture at your company?
At HdL Companies, employee ownership is more than a benefit—it is part of who we are.
Our journey began in 2007 when HdL’s founders were looking toward the future and considering an exit strategy. Rather than selling the company to an outside organization, they chose to sell it back to the employees who had helped build it. Through an Employee Stock Ownership Plan (ESOP), employees became owners of the company they helped make successful.
In 2007, the ESOP acquired 33% of HdL. Five years later, in 2012, HdL became 100% employee-owned. That transition changed more than the ownership structure, it began to transform our culture. As employees became employee owners, they began to see their work through a different lens. The decisions we make, the service we provide, and the success we create all have a direct connection to the future of our company and to our own financial futures. Nearly 20 years later, that sense of ownership continues to shape HdL.
Our growth reflects that culture. In 2012, HdL had approximately 40 employee owners working from one office. Today, we have more than 300 employee owners across the country. And our ownership culture starts on day one, actually even before. Our commitment to employee ownership is introduced during the hiring process and reinforced throughout an employee owner’s experience at HdL.
In addition to ongoing ESOP communications, new hires participate in a quarterly onboarding session within their first three months that is dedicated specifically to employee ownership. Our ESOP committee also plays an important role throughout the year by helping plan educational programs, culture-building activities, and community service events throughout the year for all employees.
What advantages does this culture create for employee owners and for the business?
Employee ownership creates a true win-win situation. We understand that the value we create through our work benefits not only HdL, but also the communities we serve and, ultimately, each of us as employee owners.
That connection encourages us to think beyond the task immediately in front of us. It motivates us to look at the bigger picture, take pride in our work, find ways to improve, and go the extra mile for our clients and our fellow employee owners.
When employees understand that their contributions can influence the success of the company and their own financial future, work takes on a greater sense of purpose.
Who or what reinforces ownership thinking on a day-to-day basis?
Ownership thinking is contagious! When employee owners are engaged and excited about the ESOP, that enthusiasm spreads across the organization. At HdL, we work intentionally to create opportunities for employee owners to connect with each other, share information, and stay engaged with our ownership culture.
Our active ESOP communications committee helps make that possible. We have committee members supporting individual locations, along with representation dedicated to our remote workforce. This allows us to reach employee owners wherever they work and ensure that everyone has an opportunity to participate.
Most importantly, we want every employee owner at HdL to feel valued and understand that they play an important role in our company’s success. Employee ownership is consistently woven into our communications, events, and conversation, not as a once-a-year message, but as an ongoing part of our culture.
How does education—formal or informal—connect to ownership at your company?
Education is fundamental to a successful ownership culture. We believe employee owners need to understand not only that they own a piece of the company, but also what that ownership means and how their individual actions contribute to the organization’s success.
We use a variety of approaches to make ESOP education engaging and accessible. Handouts, interactive games, webinars, presentations, and other activities help bring ownership concepts to life throughout the year.
We also encourage our employee owners to participate in local chapter and national ESOP events. HdL brings the knowledge and ideas we gain from those experiences back to our organization and shares them with our employee owners.
Our goal is to make employee ownership understandable, meaningful, and relevant to everyone.
How does hosting ESOP Employee Accelerator sessions reflect your values as an employee-owned company?
We couldn’t be prouder to be employee-owned, and hosting an ESOP Employee Accelerator gives us an opportunity to share our story and learn alongside other employee-owned companies. The Accelerator is a powerful way to strengthen ESOP education and help attendees better understand what it means to be an employee owner. It also creates an opportunity for companies to exchange ideas, share experiences, and learn from one another.
For HdL, hosting an Accelerator is a natural extension of our ownership culture. We have benefited tremendously from the ESOP community, and we value the opportunity to give back by opening our doors, sharing what we’ve learned, and supporting other companies on their employee ownership journey.
After nearly two decades as an employee-owned company, we know that ownership is not simply about owning shares. It’s about creating a culture where people understand their value, take responsibility for the success of the organization, and recognize that what they do every day matters. That’s what employee ownership means at HdL, and it’s a culture we are proud to continue building together.
