Employeee Share Ownership Plans

Such Plans (ESOPs ) are one of many interesting tools that allow to align the interest of shareholders and employees together. The objectives of these groups are usually quite different, so a well structured ESOP plan can introduce many positive changes. A good ESOP strategy encompasses clear communication of benefits to employees, calculates the proper timeframe and pricing for entry and exit, allows employees to buy more shares if they wish to do so. The right plan also protects the company from excessive supply overhang at the end of the holding period