15-29 Employees

2

Legacy Wealth Management Inc.

Overall Ranking2

Employees22 Firm TypeRIA CEO and PresidentJames J. Isaacs LocationMemphis, TN Primary CustodianSchwab Advisor Services

Overall Ranking2

Employees22 Firm TypeRIA CEO and PresidentJames J. Isaacs LocationMemphis, TN Primary CustodianSchwab Advisor Services

"When I worked in corporate America, I was frustrated that employees didn't have skin in the game," said Jim Isaacs, CEO of Legacy Wealth Management.

"When I worked in corporate America, I was frustrated that employees didn't have skin in the game," said Jim Isaacs, CEO of Legacy Wealth Management.

That's one reason his firm offers a percentage of company ownership to employees.

"This is 'bleeding edge,'" he said. "I literally want everyone to be an owner," he said.

To that end, the firm extends a stock purchase offer to the future shareholders, subject to certain conditions, and provides them a loan, underwritten by Fiduciary Network, to pay back the obligation over five years. The company, however, pays the loan for employees if they remain with the firm for five years. Program participants must sell the shares back to the company when they leave the firm.

The incentive to participate is huge because once the stock purchase is completed, the shareholder will enjoy annual profit sharing and the increase in share value, Mr. Isaacs said.

The impact of the program shows up in various ways.

"Morale is dramatically better, as people are more accountable to each other, and all shareholders/owners are motivated to address any problems or inefficiencies," he said. "Becoming owners transitioned the responsibility of making activities efficient from a few people to everyone."

Mr. Isaacs also credits the nine-year-old program as a significant contributing factor to the firm's growth, doubling its assets under management from $661 million in 2009 to $1.25 billion in 2018.

"It has energized all the shareholders to bring in new business," he said.

— Deborah Nason

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