3LS INC. ANNOUNCES ACQUISITION OF 40 MILLION OWNERS, WELCOMES ORGANIZATION TO FAMILY OF COMPANIES

NASHVILLE, Tenn., Sept. 4, 2025 /PRNewswire/ -- 3LS, Inc., an employee-owned family of companies, announced today that it has acquired ESOP advisory firm 40 Million Owners, which will join its growing 3LS Professional Services division. The firm, whose mission is building and growing sustainable employee-owned enterprises across the country, provides a range of acquisition advisory services for ESOPs and ESOP holding companies, including strategy design, sourcing and execution and post-acquisition integration.

Watch the full acquisition video announcement with 40 Million Owners.

"We are thrilled to have 40 Million Owners join our 3LS family of companies," said 3LS, Inc. CEO, Eric Strickland. "Co-founders Mike Brady and Michael Morosi recognized a critical gap in the market for leaders of employee-owned companies seeking to grow through acquisitions. They created 40 Million Owners to meet that need, and in doing so have gone beyond filling a gap—they are powering the next chapter of employee ownership growth."

He continued: "Their passion for scaling employee ownership through acquisitions is perfectly aligned with our mission at 3LS to do good, empower good and grow good. In addition, their clients and advisory expertise are highly complementary to our growing suite of professional services. They'll be an incredible addition to our 3LS team."

Co-founded by Mike Brady and Michael Morosi, 40 Million Owners has been working to build a future where employee ownership is the norm, not the exception. The two saw firsthand how employee ownership leads to stronger businesses and stronger communities. Leveraging their 

complementary backgrounds, they sought to support business owners searching for the best employee ownership structure for their organization. Brady is an executive leader with expertise in strategy, operations, culture, and impact, while Morosi is an institutional investor and investment banker and has designed innovative structures for scaling employee ownership.

Today, the firm focuses exclusively on helping ESOPs grow through acquisitions. ESOPs are emerging as competitive and compelling buyers in the market, offering an attractive alternative to a sale to private equity or competitors. For business owners exploring employee ownership as part of their exit planning, being acquired by an ESOP is often the most time and cost-effective path.

"The wave of business transitions occurring throughout the economy represents a generational opportunity to reshape ownership in America," said Morosi. "Only 2% of the nearly 600,000 middle-market companies in the US are employee owned. We see tremendous opportunity to grow both the number of ESOPs and ESOP participants over time. We are excited to be part of this movement and to build it as employee-owners, ourselves, alongside the entire team at 3LS."

Brady agreed, noting that the momentum behind employee ownership continues to build: "Acquisitions power the creation of stronger, more resilient, and more valuable ESOPs, and 40 Million Owners is working to accelerate this trend. The National Center for Employee Owners (NCEO) estimates that acquisitions by ESOPs led to nearly 100,000 new employee owners over the past five years. Our goal is to equip ESOP leaders with the confidence and capability to execute acquisitions that create lasting value. By joining forces with 3LS, we can accelerate our vision for a world in which every employee is an owner."

With the acquisition, Brady will serve as Managing Director and lead the day-to-day operations of 40 Million Owners, and Morosi becomes 3LS, Inc.'s first-ever Chief Investment Officer, responsible for capital allocation and corporate development. The addition of 40 Million Owners to newly launched 3LS Professional Services, alongside award-winning marketing agency 5by5, highlights 3LS's commitment to delivering a full suite of growth and advisory services for change-making companies nationwide.

About 3LS Inc.
3LS, Inc. is a rapidly growing family of 18 employee-owned companies, unified in their mission to empower good, with nearly 700 employees and five offices across the U.S. With roots in health and human services, today 3LS invests in quality child welfare and behavioral healthcare services, transformative technology, and exceptional professional services — driving growth and impact for similar change maker organizations and generational opportunity for its employee owners. Visit www.3ls.com to learn more.

About 40 Million Owners
40 Million Owners is on a mission to empower 40 million Americans to become business owners through employee ownership. Specializing in advising ESOPs on growth through acquisitions, 40 Million Owners believes employee ownership is one of the most powerful ways to build a more inclusive, resilient, and prosperous economy. The company provides a range of acquisition advisory services for ESOPs, including strategy design, sourcing and execution, and post-acquisition integration. Visit 40millionowners.com to learn more.

SOURCE 3LS, Inc.