Karmak Becomes 100% Employee Owned

Spring, 2022, Carlinville, IL- Karmak, an industry leader in Dealer Management Solutions (DMS), said goodbye to retiring founders, Richard and Linda Schien after 40 years of leadership. Karmak is the second largest DMS in the country, providing crucial support to help keep trucks moving across North America. Outgrowing their humble beginnings in a closet in the Schien Body and Equipment building in 1981, Karmak now serves over 600 customers with 2,000+ locations, and more than 250 employees.

“Keeping the business in Carlinville and providing stable, technical employment for local people has always been a top priority for our family,” said Richard. “We’re really proud to provide our community with the opportunity for growth, and this will continue even in my retirement.”

In 2003, when Richard and Linda began to plan for their retirement and the company’s long-term future, an Employee Stock Ownership Plan (ESOP) was put into place. Employee ownership, in the form of an ESOP, is a model embraced by companies all over the world and in numerous industries and provides an employee benefit plan that provides workers ownership interest in the company. This interest takes the form of shares of stock. The ESOP has now purchased the company, and under CEO Jim Allen, Karmak is 100% employee owned.

“There is no better owner to entrust the company to than the employees that helped build it,” said Richard. “I know we’re leaving the business in the hands of dedicated, motivated leaders who will help forge new ground and usher in the next exciting era of Karmak.”