A business transfer is the process of passing a business to a new owner, including to the employees of the enterprise under the cooperative form, called workers buyouts (WBO). Business transfers are key drivers of growth, competitiveness, and sustainable productivity. They protect jobs, secure tax revenue, foster innovation, and provide regional stability while ensuring European consumer choice.

While the European Commission’s efforts to support startups and scaleups are appreciated, there is need to support existing companies seeking continuity and growth within the Single Market. Indeed, business transfers, including WBOs, are vital tools for continuity, scaling up, and business renewal. They are essential to maintaining local economic activity in all European regions, thereby benefiting Europe’s economy and its social fabric. Historically, the European Commission first addressed the business transfer topic in 1994, but thirty years on, a lack of political awareness persists, and there appears to be a continued reluctance to address this topic at the EU level.

To this end, together with other European organisations, we urge the European Commission to prioritize all types of business transfers, including business transfers to employees under the cooperative model, in the forthcoming Single Market Strategy and the EU Start-up and Scale-up Strategy.

For more specific recommendations on how to support business transfers to employees, read our WBO report.

Find our joint letter here.