Cincinnati Launches Initiative to Promote Worker-Owned Businesses

The city and Hamilton County are partnering to help small businesses transition to employee ownership as current owners retire.

Updated on Oct. 26, 2026 in Openings & Closings

Isometric editorial illustration of a brick commercial building with a gear ornament, representing the transition to employee-owned local business structures. — Cincinnati and Hamilton County have introduced Business Legacy Cincy, an initiative designed to help small business owners transition their companies to employee-owned cooperatives. AI Illustration. Upload story photo >

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Cincinnati and Hamilton County officials have launched Business Legacy Cincy, a year-long initiative aimed at preserving local companies. The program provides transition guidance to help business owners sell their firms to employees instead of traditional outside buyers.

Why it matters

The initiative addresses the impending retirement wave among business owners, as 60% of small businesses in the United States are currently owned by people aged 55 or older. By promoting worker ownership, officials hope to keep local enterprises operating and stable for the long term.

Nationally, 60% of small businesses are owned by individuals aged 55 or older, while only 30% of businesses are passed down to family members. Sustainergy, a model for worker ownership, paid $160,000 in dividends to its 20 employees last year.

The players

Co-op Cincy

This nonprofit organization works to create and support a more inclusive economy through the development of worker-owned businesses.

Democracy at Work

This national federation focuses on promoting, supporting, and developing worker cooperatives to foster democratic management in workplaces.

Tim Rettig

He is a business owner who fully transitioned his company to an employee-owned model after beginning the process in 2019.

Sustainergy

This is a worker-owned company that serves as a practical example of the benefits of employee ownership.

The details

City and county officials are collaborating with the nonprofit Co-op Cincy and the national federation Democracy at Work to facilitate these transitions. The project draws on expertise gained through consultations with officials in Raleigh and Durham, North Carolina.

2019: Tim Rettig's company became 30% employee-owned.
2025: Tim Rettig transitioned his company to 100% employee-owned.
October 26, 2026: Launch of the Business Legacy Cincy initiative.

Market Landscape

The Business Legacy Cincy program follows a pattern set by economic development initiatives in cities like Raleigh and Durham that prioritize local business retention. This strategy shifts market dynamics by keeping established companies locally owned rather than seeing them shuttered or sold to external interests.

Local shoppers and clients may see more businesses remain under stable, employee-led management rather than facing closure due to owner retirement. This transition model is designed to support the local workforce while maintaining existing retail and service availability in the community.

The takeaway

Small business owners nearing retirement should consider worker-ownership as a viable alternative to selling or closing their companies. This approach helps maintain local economic stability and allows employees to participate directly in the profits of their workplace.