Traverse City ABA provider becomes fully employee-owned

North Arrow ABA has become fully employee-owned, giving the Traverse City autism therapy provider’s staff a stake through an employee stock ownership plan and putting one of the region’s fastest-growing specialty care businesses under local control. The company says it serves more than 200 clients across northern Michigan and now operates from seven locations, including Traverse City, Cadillac, Grayling, Gaylord, Petoskey, Cheboygan and Sault Ste. Marie.

Founded in 2020, North Arrow built its business around applied behavior analysis for children and families affected by autism and related developmental disorders. Founder Jonathan Timm said the ownership change was meant to protect the company’s identity and ensure the clinicians and support staff who deliver care have a real role in the organization’s success, strategy and long-term growth. Michael Dow said North Arrow wanted an ownership model that matched quality, responsible growth and local decision-making rather than expansion for its own sake.

For workers, the immediate change is not abstract. North Arrow said employees will receive an ownership stake at no cost to them through the ESOP structure, linking the people who build client relationships, maintain schedules and deliver therapy services more directly to the company’s performance. In a field where staffing stability can shape whether children keep the same therapists and treatment teams, that kind of structure can matter as much as pay.

North Arrow also stands out beyond Northern Michigan. The company said it is one of only a few employee-owned ABA service providers in the country. It was also the first ABA provider in Michigan to earn Autism Commission on Quality accreditation. On April 24, 2025, ACQ said North Arrow received a full two-year accreditation and was the first Michigan-based provider to earn that distinction, placing it among about two dozen organizations nationwide with that status.

The deal fits a larger Michigan push to keep businesses local when founders are ready to step back. The state launched a $500,000 employee-ownership pilot on July 8, 2025, to help owners facing retirement or succession gaps evaluate sales to employees. Michigan has said 75% of business owners plan to exit within 10 years, 34% have a documented succession plan and fewer than one-third successfully sell their companies. The Michigan Center for Employee Ownership says the pilot can support feasibility studies, pre-feasibility assessments, valuation services and legal help.

Governor Gretchen Whitmer has framed employee ownership as a way to strengthen companies, retain local ownership and spread future growth to workers and communities. For Traverse City, North Arrow’s move keeps a specialized provider rooted here while extending its reach across Northern Michigan, the Upper Peninsula and West Michigan.