The Entertainer Toy Chain

Introduction to Employee Ownership

The largest independent toy dealer in Great Britain has undergone a significant transformation, transferring ownership from private hands to its 1,900 employees. This move is expected to grant employees a stake in the company’s profits and a say in its future direction.

Background of the Company

The Entertainer chain was founded by Gary Grant and operates over 160 shops and concessions in major retailers such as Tesco, Matalan, and M&S. The company also encompasses the Early Learning Center and the Addo game, making it a substantial player in the toy retail sector.

New Ownership Structure

The change in ownership is designed to ensure the business remains independent and true to its family heritage. The company’s instruction is now monitored by a three-person trust, with one member representing the personnel authority, holding 100% of the company. The current shareholders, the Grant family, will receive compensation for the sale of their shares from future profits.

Employee Benefits and Involvement

As a result of this transition, employees will be rewarded with tax-free bonuses based on the company’s future profits. To facilitate employee involvement in decision-making, a colleague advisory committee has been established. This committee will enable employees to contribute ideas and help design guidelines for the company’s operations.

Industry Trend

According to James de la Vingne, managing director of the Employee Ownership Association, this move is part of a "growing trend" among retailers. Other notable companies that have adopted employee ownership models include the John Lewis Partnership, Richer Sounds, and Go Ape. This trend suggests that employee ownership could be a viable strategy for retailers looking to secure their futures and preserve their independence.

History of the Entertainer

The Entertainer was founded in 1981 by Gary and Catherine Grant in Buckinghamshire. Over the years, the company has grown to become a significant toy retailer, designer, sourcer, developer, and wholesaler in several international markets. This new chapter in the company’s history marks an exciting development in its evolution, with employees now at the helm, guiding its future success.