Lisa Stevenson (Parisi Tax) explains how to implement a new share incentive arrangement for key employees in a high tech company.
Question
My client is a high tech company. The company has recently gone through a funding round to raise new debt and equity capital which valued the company at £15m. The shareholders are hoping to achieve an exit in the next three to five years. In order to attract and recruit key staff (including a part time chairman) the company wants to implement a new share incentive arrangement for key employees. The employees will only benefit from future growth in value; however the greater the value received on an exit the bigger the percentage the employees will benefit from. The company wants advice on how to structure the arrangements.
Answer
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Lisa Stevenson (Parisi Tax) explains how to implement a new share incentive arrangement for key employees in a high tech company.
Question
My client is a high tech company. The company has recently gone through a funding round to raise new debt and equity capital which valued the company at £15m. The shareholders are hoping to achieve an exit in the next three to five years. In order to attract and recruit key staff (including a part time chairman) the company wants to implement a new share incentive arrangement for key employees. The employees will only benefit from future growth in value; however the greater the value received on an exit the bigger the percentage the employees will benefit from. The company wants advice on how to structure the arrangements.
Answer
...
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