A £20 million turnover bathroom supplies business has become Scotland’s newest employee-owned company.
Rutherglen-headquartered Wetrooms International Group employs almost 80 staff, including in its network of Ceiling2Floor panelling stores across Scotland and northern England, as well as its Wetrooms Distribution operation supplying merchants throughout the UK and Ireland.
Brothers Brian and Bill Crombie launched Wetrooms in 2005 and have worked together for nearly 50 years. As part of their continued commitment to the business, they have retained a 26% share in its transition to an Employee Ownership Trust (EOT).
The move – which is designed to help fuel growth ambitions and give staff a greater stake in the firm’s success – comes as the PVC panelling specialists recorded a 20% increase in turnover during the first quarter of 2025.
Brian said, “For us, this is about building a legacy for our team, recognising the loyalty of our staff. Becoming an EOT was the logical step for us to take. It makes sense for everyone. Most of our staff have been with us for a long time and we have a great management team.
“I’m 73 and Bill is 71. We’ve got ambitious plans for the business while naturally also considering what work looks like for us longer term. We’ve had approaches, but didn’t like the idea of a trade sale, putting the business in the hands of someone who might not understand our unique ethos. Our team deserve better.
“Becoming an EOT opens opportunities for our people to develop their careers, brings benefits to us and provides a level of comfort and confidence to the staff, suppliers and customers we work with that Bill and I are still here. It’s the ideal fit.”
Bill added, “The business is in a real period of growth with huge potential to expand significantly over the next five years. We have the right team in place to achieve that.”
Trustees to oversee the business have been appointed from the workforce as part of the new EOT structure. They include group MD Linda Smith.
Wetrooms International has been guided through the transition to employee ownership by Ownership Associates, with assistance from Reference Point Advisory and legal advice from Lindsays.
Ownership Associates director Carole Leslie commented, “It’s fantastic to see a growing business such as Wetrooms realise the positive impact of employee ownership, not least allowing the team who have helped deliver its success so far to retain control of its future and share the benefits.
“What’s quite remarkable about Wetrooms is the sheer passion for ambition which goes through the organisation. I’ve been blown away by the calibre and commitment of the employees and it’s been fantastic working with Brian, Bill and Linda. I look forward to seeing the business continue to expand.”
Employee ownership unlocks a capital gains tax exemption for shareholders who sell their shares to an EOT and the ability to reward employees annually with qualifying bonuses of up to £3,600 per year per employee, which can be paid free of income tax.
Nicholas Howie, a partner in the corporate law team at Lindsays, said, “You cannot fail but to be impressed by the energy and enthusiasm that Brian and Bill have for the business. Their decision to transition to an EOT allows them to continue to play a key role in its future while putting a legal and financial framework in place that creates a long-term legacy for their team. It’s the ideal fit for their ethos.”
Wetrooms, which specialises in PVC ceiling and wall panels for bathrooms, supplies both merchants. In 2008, the firm introduced the first 100% waterproof hollow core PVC WidePanel shower and wall panels to the market.
At the same time, the Ceiling2Floor trade outlet arm of the business was formed. It now has branches in Aberdeen, Anniesland, Cambuslang, Dundee, Edinburgh, Falkirk, Glenrothes, Govan, Inverness, Kirkintilloch and Stirling. Carlisle will add to its Middlesbrough and Newcastle branches in northern England within weeks.
The brothers, who began their careers in sales to the home improvement, builders’ and plumbers’ merchant markets, have been working together since April 1977. They previously established Showerwall in the late 1990s, selling that business to the St Gobain Group in 2007 to focus on the development of fully-waterproof shower panels and associated products. The firm also supplies drop-click flooring, with new patented panelling products set to be launched.
