Founder of The Entertainer to Hand Toy Retailer Over to Employees in Landmark Move

The founder of the UK’s preeminent toy retailer, The Entertainer, is preparing to place the company in the hands of its 1900-strong workforce. Gary Grant and his wife Catherine, who transformed the enterprise from a single Amersham shop into a national chain of over 160 stores and more than 1000 concessions in major retailers, are transferring all shares to an employee trust. This arrangement echoes the John Lewis model, inviting staff to shape the company’s direction and share in future profits.

Over the coming month, the Grant family will execute the transfer, with employees poised to receive their first meaningful bonuses following the next festive trading period. The new structure will see an employee join the three-person trust board, bolstered by a colleague advisory board designed to gather and channel insights from across the organisation. The Grants will be compensated gradually from future earnings, a move aimed at securing business independence rather than maximising the sale value.

The Entertainer’s valuation remains confidential, but company assets exceed £53 million, with profits at £6.7 million for the year ending January 2024. Nearly 400 staff have given over a decade of service, highlighting a culture of loyalty that Grant has encouraged through a commitment to ethical business practices and charitable giving. The company, unique among large retailers for closing on Sundays and donating ten percent of profits to charity, is expected to continue this legacy following the ownership change.

The leadership transition comes as part of a planned succession, with two of Grant’s children working in the business but not intending to take over. Grant cited family reasons and a desire to focus on philanthropic projects—including a £4 million community hub initiative—as personal motivations for the change. He expressed confidence that the business, in robust financial health and debt-free, is ready for a new chapter led by its employees.

Andrew Murphy, former John Lewis Partnership executive, will lead The Entertainer into its next era. Murphy emphasised the gravity of continuing the company’s legacy responsibly and observed the business had to make strategic adjustments recently, such as pausing expansion, in response to increased employer national insurance costs.

Gary Grant reflected on more than four decades at the helm, from modest beginnings to building a market leader in toy retail, and revealed a sense of pride in leaving the business strong and sustainable for its next custodians—the staff themselves.