ESOP – Are you ready to give employees shares in your company?

ESOP – Are you ready to give employees shares in your company? 

Talent Retention, People, Corporate Development

Under an employee stock ownership plan (or ESOP), star employees are offered a number of shares in their company.

This scheme ties employee success to that of the company and incentivises them in the long term.

But do you understand the mechanics of an ESOP?

Take the quiz to test your knowledge!

An employee stock option plan allows companies to attract and retain key talent by:

1 / 5

True or False? In ESOP, equity granting is achieved through what is described as a “vesting” process

2 / 5

True or False? In addition to the vesting period, an employee’s contract can include a ‘probation’ period

3 / 5

What is not a step in share vesting?

4 / 5

True or False? An employee has the option to sell his/her shares

5 / 5

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