In a significant shift in ownership structure within the British retail landscape, Gary Grant, the founder of one of the UK’s largest toy chains, The Entertainer, is set to transfer full control of the business to his dedicated workforce. This momentous decision reflects a growing trend toward employee ownership, allowing staff to share in the profits and influence the operational direction of the company.
Established in 1981, The Entertainer began as a single shop opened by Grant and his wife, Catherine, when he was just 23 years old. Over the years, it has developed into a multi-million pound enterprise boasting 160 stores throughout the UK. Grant’s decision to hand over control comes as he transitions into a less active role at the age of 66, aiming to ensure that the company’s foundational values and legacy endure long after he steps back.
Grant is officially transferring complete ownership of the family-run business to an employee ownership trust. This innovative ownership model signifies that all 1,900 employees will not only receive a stake in the company but will also have a meaningful say in its operations, enabling them to feel more invested in its success. In his words, Grant explained, “If the business had been sold just for money, that would not have been passing on the baton in the way in which the family would have wanted.”
The business typically generates most of its profits during the festive season, and Grant mentions that it is premature to speculate about bonuses for the current financial year; however, he believes the real rewards for employees will start materializing for the fiscal year ending in January 2027. While employees stand to gain, the Grant family will similarly benefit from this transfer, accumulating financial rewards from profit-sharing over time that aligns with the growth and profitability of the business.
According to the latest financial details, The Entertainer achieved pre-tax profits of £6.7 million for the year ending in January 2024. This solid financial footing creates a promising outlook for employee bonuses and further investment into the workforce as the company embarks on this new chapter.
Throughout its history, The Entertainer has weathered various challenges, including the 2008 financial crisis, the COVID-19 pandemic, and the ongoing evolution of retail from physical stores to a more digital-focused approach. Grant attributes the company’s resilience and success to its unique business ethos, informed by the family’s Christian values, which prioritizes charitable giving and community engagement, including a commitment to donating 10% of annual profits to charitable causes.
In a bid to enhance market presence, The Entertainer has partnered with major retailers such as Tesco, expanding its toy ranges into more than 850 supermarket locations, while also maintaining a presence in 140 Matalan stores. These strategic partnerships are essential in sustaining sales momentum and diversifying revenue streams as shopping behaviors continue to evolve post-pandemic.
Reflecting on his journey, Grant expressed gratitude for the growth of the business. From humble beginnings with limited experience in retail to establishing a thriving company, Grant emphasized the importance of legacy as he transitions control. He noted that two of his four children work within the firm but opted not to pursue ownership, prompting the family to explore sustainable exit strategies.
As Grant prepares to hand over the reins, he acknowledges the dual challenge of stepping back from a business that has been a central part of his life for decades while also cherishing the prospect of seeing it thrive under employee stewardship. His plans for retirement include spending more time with his family, including his ten grandchildren, while also becoming engaged in charity work. Grant remains confident that The Entertainer will continue to flourish and exemplify the values upon which it was built. He firmly believes that the best way forward for the business aligns with its long-standing culture of care and community engagement, ensuring a prosperous future for both the company and its employees.
