Churchill Mortgage is now an employee-owned company.
Mike Hardwick, founder of Churchill Mortgage and sole shareholder of parent company Churchill Holdings Inc., on Oct. 31 sold a portion of the company's stock to an Employee Stock Ownership Plan (ESOP), thus allowing employees to share in company profits.
Hardwick, who will maintain a controlling interest in the parent company, says this could be the first time that a privately owned mortgage company has opened up its stock to its employees.
‘Studies have shown that companies' average growth rate is 2.4 percent higher after an ESOP is implemented, so there is a tremendous potential value for our employees who will now share in the continued success of the company and benefit financially from a job well done,’ Hardwick says in a release. ‘Churchill has experienced exponential growth over the last 20 years, and we anticipate even more success in the coming years.’
Employees participating in the plan will earn an annual allocation of parent company shares based on their relative percentage of total eligible compensation. Available shares, representing 49% of the parent company, will be allocated over the next several years.
‘We also expect this plan to significantly enhance service,’ Hardwick adds. ‘Employees will have a stronger incentive to work hard, as well as take greater pride in their contributions to the company. In turn, families and individuals seeking loan products will reap the benefits. As we transition to an employee-owned enterprise, we look forward to the future.’
In other company news, Christy Hoskins, formerly with Franklin American Mortgage Co., has joined Churchill Mortgage as vice president of business development for its branch network in the southeastern U.S.
Hoskins, who has 15 years of industry experience, previously served as an account executive at Franklin American, where she oversaw pipeline performance and processes to increase overall loan quality. Prior to Franklin American, she served as an account manager with Genworth Financial Mortgage Insurance (formerly GE) and MGIC. She was also vice president of R&C Mortgage Co., where she managed staffing, licensing, training, compliance guidelines, and overall production and operations.
In her new role, Hoskins will be responsible for developing new business channels and identifying, interviewing and on-boarding new branches in the Southeast. In addition, she will manage Churchill's internal structure and processes to streamline the addition of new sales channels.
