Start-up founders frequently ask questions, “Now must my Company adopt Employee Stock Option Plan (“ESOP”) or not?
We unequivocally say yes. A properly implemented ESOP can be a potent instrument for boosting development, enhancing organizational performance, and generating wealth for both founders and employees.
The ESOP is a useful instrument for remuneration. A carefully crafted ESOP plan will assist an Employer in cash management while also allowing Employees to participate in the success and expansion of the Company.
So how do the ESOPs work, and what advantages and disadvantages do they present to employees?