Ownership At Codeo everybody has the possibility to join as a shareholder

At Codeo everyone has the opportunity to become a shareholder in the company

The fact that everyone has the opportunity to be a shareholder and a board member is a principle and has an administrative significance. It ensures transparency and employee empowerment in our operating model. Shareholders and board members are entitled to receive information about the state and operations of the company to a much wider extent than a person in a mere employment relationship. They also have decision-making power in many important decisions of the company.

The history and the future company’s ownership are as it follows: Tommi Aho and Olli Pasanen founded the company in 2011 and are still the main shareholders. After founding the company, more people have joined them as small shareholders. In the early years, our operations were on a more uncertain basis and those who joined at that stage took more personal risk than those who joined later. Because of that, those who joined at the beginning have a larger ownership than those who joined later. In the future, new shareholders will be offered 0.1% of ownership, which in itself does not sound like much, but according to our shareholder agreement, it is a very essential matter in certain important decisions.

Fair compensation model

Codeo’s compensation model is structured in such a way that the salary is the biggest financial benefit for the coders, and the dividend brought by ownership is only a small bonus. Codeo’s profit cutter makes sure that the dividends cannot grow too large: the profit cutter limits the company’s net profit to 10% and distributes the rest to the coders as part of the salary. Consequently, as the company grows, mostly only the principal owners can achieve a significant dividend yield. Their salaries, on the other hand, are very reasonable. Since our profit cutter directs a lot of our profits to coders’ salaries, Codeo is not a very interesting item to sell to investors. It is easier for the investors to find other companies in the sector, which ownership can achieve more financial benefits. This is how we have built Codeo: exactly for the people who are working in the company and are involved in our operations.

At Codeo everybody has the chance to join as a shareholder and our ownership information is publicly available.