How to do equity incentives?

The design purpose of employee stock ownership plan is to achieve "maximum shareholder value and win-win situation for employees and enterprises".

Equity incentive design mainly includes three points:

The first is the design of incentive path, which mainly includes the design of incentive objects, incentive tools and shareholding methods. Reasonable incentive path design enables the scheme to be implemented for a long time.

The second is incentive subsidies. Incentive awards mainly focus on the scope, level, pricing mechanism, ownership institutions, exit mechanism and so on.

The third and most important point is landing support. Tax compliance consultation is a very important part of landing support. Enterprises and employees may lack understanding of tax policy when implementing the equity incentive plan, and experts need to answer questions about tax policy.

Futu comfort experts believe that a complete equity incentive plan includes scheme design, trust &; Four links: tax planning, data management and exercise.

Generally speaking, data management and exercise landing are two key links of the whole equity incentive plan, which are related to whether the whole equity incentive can be successfully completed and whether the effect of equity incentive can be truly realized. Doing these two links well, on the one hand, can reduce the company's operating friction and hidden costs, on the other hand, it also improves the employee experience.

To successfully complete these two links, Futu Anyi suggested that enterprises use a one-stop system to perfectly cover the equity incentive plan of enterprises. This employee stock ownership system should have the following characteristics:

Absolute safety

Able to process a large amount of data and visualize the data.

It allows employees to quickly understand the shareholding situation and can assist subsequent exercise operations.

It is best for the system provider to have brokerage qualification and rich experience.