The founder handed over the UK’s largest toy store chain to employees and became an artist owned by employees
The UK’s largest toy store chain will become an employee-owned artist after founder Gary Grant announced plans to move 100% of the family business to its 1,900 employees by the end of September.
The retailer (which also owns the Early Learning Center and the Addo toy brand) will be placed in an employee ownership trust (EOT), and the grant family will pay for future profits over time. Business valuation has not been disclosed.
Employees will benefit from tax-free bonuses related to company performance, and the newly created employee advisory board will help shape the future direction of the group.
Despite the difficult year of the business, the move happened. By 27 January 2024, pre-tax profit fell 18% to £6.7 million, and sales fell 3.7% to £238.3 million. However, the family remains the first dividend since 2019, which is a £15.6 million payment.
Founded by Gary and Catherine Grant in 1981 in Amersham, Buckinghamshire, the artist has grown from one store to 160 branches and over 1,000 offers among major retailers such as Tesco and Marks & Spencer. The business also conducts transactions online and overseas.
Grant started with day-to-day operations when John Lewis executive Andrew Murphy was CEO in 2023, and he will serve as chairman when the deal is completed in September. Both his sons are in the business and will leave. Murphy’s experience with retailers owned by the UK’s largest staff is expected to help guide artists’ transitions.
Grant said the decision was “important” and “not easy to give”: “Until yesterday, my wife, Katherine and I opened our first store. Over the past 44 years, we have invested our work life into this business… it feels like the right time to transfer the entire stake to employee ownership.”
He thanked the staff for making the entertainers “What’s Today” focus the brand on confirming “children and community…create memories, inspiring wonders and provide excellent service.”
The artist will join other prominent British businesses including Rich Voice and Riverford Organic Farmers, which have turned to employee ownership.
James de la Vingne, CEO of the Employee Ownership Association, called the move “a bold and outstanding commitment to sharing success” that could “a future high-profile brand, the roots of local communities, and inject wealth into regional economies.”
He added: “The future of the street is employee ownership and the future has already happened.”
