Eight steps. One revolving fund.

AllHold identifies a profitable small business, and where the business owns its space, the real estate it occupies, that fits the model: rooted in a low- to moderate-income corridor, financially healthy, and facing a real succession need. Fit depends as much on the owner's goals as on the numbers: a willingness to protect the business's culture and workforce, not just maximize price.

The business, and real estate if included, is valued at the higher of standard market value or a place-based (rooted in a specific neighborhood) valuation that accounts for its role in the neighborhood, capped at what the business can actually carry. The capital stack is built from AllHold's own capital, real estate financing from our ecosystem partners, and, when the price calls for it, a seller note. On a smaller deal, AllHold and partner financing alone can sometimes cover the full amount.

An Employee Ownership Trust formally acquires the business. When the business owns its building, the real estate moves into the trust alongside it, so the two can never be separated later. When the business leases its space, AllHold negotiates a purchase from the current property owner or relocates the business within the same corridor to a building that's for sale, whichever gives the business the more stable long-term home.

Employees become beneficiaries (the people the trust exists to benefit: the employees) of the trust, not shareholders. They gain the benefits of ownership, profit sharing and a seat on the trust's governance (how decisions get made, and who makes them) committee, with no buy-in, no debt, and no personal financial risk. Day-to-day leadership and the team stay the same.

The business keeps operating under its existing team, generating the profit that pays down its financing over time. Cash moves in a simple, predictable order: operating costs and debt service first, then reserves, then distributions. Hands-on technical assistance (governance training, financial literacy, leadership development) is capped at three years and declines each year as the trust builds its own capacity.

As the business stabilizes (the period after the sale when the business settles into its new ownership) and the real estate builds equity, it refinances into conventional long-term financing, accelerating repayment of AllHold's capital and any seller note.

As financing is repaid, that capital — principal plus a modest return — returns to AllHold as program income.

Returned capital funds the next business's transition. Each completed deal expands AllHold's capacity, so the model becomes less dependent on continued fundraising over time.