Employee Stock Ownership Plan (VSOP/ESOP)
☝🏽 Put a ring on it!
How do you get employees excited & motivated? You make them part of your DNA, and that means sharing the growth of the company with them. 💍
The main difference between co-founders and employee participations is that employees don’t become shareholders. Instead, they only get options once there is an exit, and that’s when they’ll be treated as if they have shares & will sell them to the buyer. 🍻 In our template, the shares are virtual (hence VSOP), so we only treat employees economically as if they were shareholders. This approach reduces costs and risks while sharing exit gains with your employees.
This is kind of tricky & complex, as there are lots of clauses. That’s also why this document is 26 pages long - sorry 😉
For tips figuring out the size of the VSOP program and the individual share allocation, watch our video with Dominic Jacquesson below!
📼 Learn more about ESOP works!