John Abrams, President of South Mountain Company, tells the story of how the company became employee-owned:
In 1987 I sold my business, South Mountain Company, to my employees (and myself)… Shared ownership and control is our method at South Mountain. “Every employee, an owner” is our intention. More than half of our thirty employees are full owners. Each time another comes in, and each time a new management invention encourages more voices to be heard, we move steadily toward the goals of democracy, fairness, and transparency.
Among the advantages: Commitment, effectiveness, productivity. Read the whole story here.