Ownership Strategies for High-Performing Teams

I’ve interviewed 75 Shark Tank ABC entrepreneurs… the most successful ones do 5 things to create a high-performing culture. These 5 things lead to them attracting great people (who would run through a wall for them), retaining them longer (they have everything they want) and getting far better performance out of them (because they are incredibly engaged). They create environments that high-performing people want to work in. I’ve gone through my notes from my "Outside The Tank" Podcast interviews, here are the 5 key things that the best entrepreneurs I interviewed do to create a performance culture… TREAT THEIR PEOPLE LIKE OWNERS: Buzzwords like “family” and “team” are often used in business but usually are laughed at. These entrepreneurs actually back it up when hey say it and go a step further by treating their people like they are OWNERS and PARTNERS in the company, not an “employee” or on a “staff”. GIVE THEIR PEOPLE STOCK OR A PROFIT SHARE: At the end of the day, money talks. High-performers want to be fairly compensated for the value they bring to an organization. And these entrepreneurs pay the best wages they can, but more importantly, have a GENEROUS and EASY TO UNDERSTAND way of distributing profits or equity to their people. You want your people to behave like owners/partners? Then cut them in on this, otherwise its just lip service. CREATE A FLAT(TER) ORG CHART: These entrepreneurs are just one member of the team. Yes, they own the company, but they are PART of the team. They treat their people with a “we are all in this together” as opposed to creating as much separation as possible. This can mean things such as working amongst everyone else, spending plenty of time “on the floor”, always having a wide open door policy and other ways to create a team atmosphere. It is tough to describe but you can absolutely see it immediately with your own eyes. LET THEIR PEOPLE CONTRIBUTE IDEAS: They encourage and beg for ideas from EVERYONE in the organization. They want everyone to feel their voice matters and have an open platform to voice ideas, observations, challenges and input to help the organization get better. Their people feel like an owner and want the company to succeed… so many of the best ideas emerge rather than sitting in someones head out of fear for speaking up or not having a platform to do so. PROVIDE TONS OF COACHING OPPORTUNITIES: These entrepreneurs heavily invest their time and money into helping their people get better. They personally coach and mentor key people. They invest in others to help their people get better. This isn’t BS L&D to check a box… this is meaningful mentorship. They know that high-peformers are begging for this type of development and when it occurs the organization performs significantly better. If you want to listen to any of these interviews simply look up "Outside The Tank" on YouTube or your favorite podcast platform! #sharktank #entrepreneurship #performanceculture

Want your team to act like owners? Start treating them like owners. 1️⃣2️⃣ Ways to Incentivize Your Team 1. Phantom Equity- “Shadow shares” that mirror real equity—without actual ownership. - Best for: Retaining key players without diluting control. - Payouts tied to company value events (e.g., sale or valuation trigger). 2. ESOP (Employee Stock Ownership Plan) - A formal trust that grants stock ownership to employees over time. - Best for: Long-term succession planning and exit strategy. - Significant tax benefits for both owner and employees. 3. Profit-Sharing - A fixed % of company profits distributed to employees, usually annually. - Best for: Creating broad alignment and a “we win together” mindset. - Keep the formula simple and transparent. 4. Performance-Based Bonuses - Bonuses paid for hitting specific KPIs or goals. - Best for: Sales, operations and any role with clear metrics. - Combine individual and team metrics for balanced motivation. 5. Retention Bonuses - A timed payout (or series) for employees who stay a set duration. - Best for: Retaining key roles in high-turnover industries. - Tier it over 2–3 years to keep commitment strong. 6. Equity Options / RSUs - The right to buy or receive company shares at a future date. - Best for: Startups or high-growth companies. - Vesting schedules help protect the business and promote long-term vision. 7. Leadership Tracks with Ownership Perks - Career progression with access to equity, profit-share or decision-making. - Best for: Grooming next-gen leaders and successors. - Pair this with mentorship and business literacy development. 8. Milestone Bonuses - Cash rewards tied to specific project or company achievements. - Best for: Project-based industries or innovation-heavy teams. - Celebrate big wins like product launches, expansion or certifications. 9. Team-Based Incentives - Bonuses or rewards based on team or department performance. - Best for: Encouraging collaboration over competition. - Helps break silos and boost peer accountability. 10. Spot Bonuses / Recognition Awards - One-time awards for outstanding performance or behaviors. - Best for: Keeping morale high and rewarding above-and-beyond effort. - Make it public and personal for extra cultural impact. 11. Profit Interest Units (LLCs) - Grants a share of future profits and appreciation—without past equity. - Best for: LLCs wanting to attract high-level contributors. - Ideal for newer team members you want to tie into future growth. 12. Commission + Accelerator Models - Tiered commission structures that reward overperformance. - Best for: Revenue-generating roles like sales or business dev. - Consider accelerators (e.g., 10% becomes 15% after goal is hit) to reward momentum. Culture isn’t an energy drink fridge, pizza and potlucks. Culture is how you reward the people helping you build something meaningful. ___ ♻️ Repost this and follow Patrick.

"Employees are your greatest asset" ... Or are they? Here's my take: Good employees are vital. But are they truly invested in your company's success? If not, try this: Transform employees into stakeholders by getting them to think and act like owners. Here's how: Communicate the vision. - Share your company's purpose, goals, and values early and often. - Help employees see how their work contributes to the bigger picture. Offer meaningful ownership. - Consider offering stock options, profit-sharing, or other forms of equity. - Give employees a tangible stake in the company's success. Empower decision-making. - Give employees autonomy to make decisions in their areas of expertise. - Trust them to act in the best interests of the company. Celebrate successes. - Recognize and reward employees for their contributions to company goals. - Make them feel valued and appreciated for their efforts. Encourage transparency. - Share financial and performance metrics with the team. - Encourage open communication and ideas at all levels. Remember: Transforming employees into stakeholders will take time. It requires consistent effort and genuine commitment from the leadership team. But get it right? You'll unlock a powerful force for growth. And create a team that is genuinely invested in the company's future. I'm curious: How do you encourage your employees to become invested stakeholders in your business? Share your thoughts below. P.S. - Get some value? Please reshare this.