TC Group delivers a smooth transition to Employee Ownership
“THANKS TO TC GROUP’S EFFICIENT PROCESS, OUR EOT TRANSACTION WAS SUCCESSFULLY COMPLETED IN LESS THAN TWO MONTHS. THEY ENSURED THE EOT ADHERED TO MORE FAVOURABLE PRE-BUDGET REQUIREMENTS, AND FROM START TO FINISH, I SIMPLY CAN’T FAULT THEIR SUPPORT. I HAD PLENTY OF QUESTIONS THROUGHOUT AND EVEN IF IT WASN’T RELEVANT, PATRICK, ALFIE, AND THE WHOLE TC GROUP TEAM WERE JUST BRILLIANT AT COMING BACK TO ME, HELPING AND GUIDING. IT REALLY WAS A FIRST-CLASS EXPERIENCE.”
Phil Mashinchi, Managing Partner, Cambridge Support Ltd
When Phil Mashinchi, Managing Partner of Cambridge Support Ltd, decided to safeguard the long-term future of his business and team, he turned to TC Group to help deliver a smooth transition to Employee Ownership.
Working closely with Phil and his business partner Alex Foster, TC Group’s Corporate Finance team and Buckles Corporate Team structured and delivered an Employee Ownership Trust (EOT) transaction in October 2024, enabling 100% of the company’s shares to be sold for the benefit of all employees.
The move aligned perfectly with Cambridge Support’s strong people-first culture, providing an exit route for the existing shareholders, while ensuring the business remains in the hands of those who helped build it.
A VALUES-LED BUSINESS JOURNEY
When Phil registered Cambridge Support in 2018, his goal was to create a ‘lifestyle business’—something small and fulfilling that would keep his mind engaged. With decades of experience in IT, including a successful tenure at Computacenter plc, Phil envisioned working on his own, without plans for expansion at the time.
“It was just me in a tiny office. I had no plans to hire anyone—I just wanted to do what I loved. But very quickly, it turned into something much more.”
Former colleagues began reaching out, including Alex Foster, who would go on to become Phil’s business partner.
“Alex offered to help, even though I couldn’t afford to pay him at the time. He didn’t care—he just believed in what we were building.”
Phil and Alex had worked together before, and their partnership, based on trust and shared values, became the foundation for a business that prioritised relationships over revenue.
“It’s always been about doing the right thing for our people and customers. The financial benefits followed as a side effect of what we did.”
A CULTURE BUILT ON CARE
Phil’s approach to leadership is deeply personal. He considers his team as more than colleagues—they’re an extended family.
“I am very blessed to have such an amazing team around me and it goes beyond just work. I’m honoured to be godfather to a couple of my team’s kids. Having close relationships with our customers, I often go to them for advice and help. I believe in getting to know people really well.”
“Cambridge Support doesn’t employ salespeople”, says Phil. Instead, they have Service Delivery Managers who focus solely on customer happiness and helping clients make the right decisions.
“If something’s not right for our customer, we tell them. They appreciate that level of honesty and it’s how we’ve managed to build such strong relationships with customers who’ve stayed with us for many years.”
WHY THE EMPLOYEE OWNERSHIP ROUTE?
Phil had long admired the Employee Ownership model, inspired by similarities with the John Lewis Partnership.
“I’ve always liked the EOT model. The John Lewis Partnership sparked it for me and we’re going back a bit now, but I attended a talk from their CEO and I was inspired. Since then, it’s been on my list – I thought it was a really good way of giving something back to the team.
“Not only that, it gave us and our customers confidence. It protects the culture we’ve built and means we’re not vulnerable to being bought out by a big corporate that doesn’t share our values. Being employee-owned endorses what we are about and it has given our customers even more trust and confidence in us. It’s a real differentiator.”
The move also allowed Phil to step back slightly and focus on developing a strong in-house leadership team.
“I don’t think I’ll ever stop working, but becoming employee-owned means I have more space to build our in-house leadership team. We’ve got a team of four in place now, soon to be five, and have changed some of the roles. We have regular strategy meetings and it’s working really well for us.”
TC GROUP’S IMPORTANT ROLE
Phil credits the success of the EOT transition to the hands-on support of TC Group’s Corporate Finance experts. When asked what 3 words he’d use to describe the team, he said:
- Friendly.
- Knowledgeable.
- And really helpful. They always went out of their way to help.
Patrick Faughnan, Head of Corporate Finance at TC Group, said, “It was clear that Phil had a really close relationship with his employees, many of whom had worked with him in a previous business. He would often describe his team as family, making an EOT the perfect structure to preserve the company’s strong culture, while empowering employees to take ownership of the business’s future.”
Alfie Burton, Corporate Finance Senior, added, “Phil and Alex were both keen to complete the transaction as quickly as possible ensuring day-to-day business operations were not impacted. Supported by Buckles as the appointed legal advisors, we ensured the transaction completed in time, allowing them to benefit from 0% Capital Gains Tax and maximise financial efficiency.”
A DREAM COLLABORATION: TC GROUP AND BUCKLES LAW
The transaction was made possible thanks to a seamless collaboration between TC Group and Buckles Law, a nationally recognised legal firm.
“Katy Poole at Buckles Law was fantastic throughout the transaction. Just like the TC Group team, she was always responsive, helpful, and easy to talk to,” said Phil.
Patrick added, “We’ve worked with Buckles Law on several transactions. Their collaborative, client-first approach perfectly complements our own. Katy’s commitment and responsiveness ensured we could move quickly and complete the deal efficiently.”
Katy Poole, Corporate Partner at Buckles said, “EOT transactions have received mixed media coverage and social commentary, so it’s essential that clients are choosing this route for the right reasons and have the next tier management in place to drive a successful transition.
“Cambridge Support, under the leadership of Phil and Alex, is a perfect example of a company making the right decision with an EOT sale. It was a pleasure to assist them on this transaction through to completion, and I look forward to seeing what comes next for the business.
“Patrick, Alfie, and the entire team at TC Group are always great to work with. They’re incredibly responsive and fully aligned on the importance of ensuring the planning and execution of the transaction are tailored to the client’s needs.”
LOOKING AHEAD
With the EOT in place and a leadership team growing in strength, Cambridge Support’s now looking ahead. Phil’s focus is on continuing to strengthen the leadership team together with sourcing potential acquisitions of smaller IT businesses that align with Cambridge Support’s values in the future.
“We’ve got really good systems and processes in place, and we want to grow by bringing in businesses that share our culture. I’ll be looking to TC Group for advice on potential mergers and acquisitions moving forward.”
CONSIDERING SUCCESSION PLANNING FOR YOUR BUSINESS?
If you’re thinking about transitioning your business to employee ownership, TC Group’s experienced Corporate Finance team’s here to help you navigate the process smoothly and efficiently.
