A London-based fit-out specialist has become employee-owned to secure its future as an “independent business”, its chief executive has said.
BW Interiors’ owners sold their shares to an employee ownership trust (EOT) in March after 25 years of trading, according to its latest accounts.
The firm’s chief executive Steve Elliot said the move “secures our future as an independent business, built to last”.
BW Interiors’ existing leadership team, which is staying in place, was “fully committed to steering the business”, the company said.
The firm, which focuses on the commercial office and education sectors in central London, employed a monthly average of 238 staff last year.
EOTs allow business owners to sell their shares to a trust free from capital gains tax.
Under the model, staff do not have direct ownership of a company, but instead have a controlling interest in a trust.
BW Interiors’ accounts, covering the year ending 31 December 2024, showed that pre-tax profit doubled from £3m to £6m.
Turnover jumped by 22 per cent from £200m to a record £244m, and its cash holdings soared from £8.7m to £40.5m.
“Revenue growth in 2024 was driven in part by the successful execution of larger, high-value projects,” said Elliott.
However, the group’s bottom line was affected by a 21 per cent jump in costs to £222.8m. Its annual wage bill rose from £22m to £25.9m.
Even so, the firm’s pre-tax profit margin broadened to 2.4 per cent compared with 1.5 per cent in 2023.
It paid out a slightly higher dividend – £2m compared with £1.8m – and held no bank loan debt.
BW Interiors was ranked seconnd in last year’s inaugural CN Specialists Index for fit-out firms.
Elliot described 2024 as an “outstanding year”, which reflected the “scale and complexity of projects” it was delivering.
In the current financial year, the firm has around £200m of secured turnover, while its profits are expected to top 2024, the company said.
BW Interiors said it was delivering an increasing number of “high-value” fit-outs for legal and professional services firms, where “demand for high-specification environments remains strong”.
The firm’s design-and-build division is also now fully established, it added, after announcing plans for it last year.