The Decision-Maker’s Guide to Equity Compensation, 3rd Ed

Price: $28.99
(as of Aug 28, 2023 22:21:29 UTC – Details)

Many books discuss the tax, legal, and other aspects of equity compensation, but this book is different: It is exclusively focused on helping people who are designing plans decide what kinds of equity to choose, and who should get how much and when. Are options a better fit than restricted stock? What are the pros and cons of phantom stock and stock appreciation rights? Should employees be able to buy stock? If so, how? Who will be eligible and under what rules? How will awards be earned, and how will the company provide liquidity for the awards?

All too often, these and other issues are ignored or dealt with by guessing, applying rules of thumb, or applying the approach that someone else happens to be familiar with. This book is designed to help its readers make educated, reasoned decisions about the equity compensation strategies they need, not the ones that someone else might want them to use. At the same time, the book also covers the general legal, tax, and other rules applicable to each plan type.

In the third edition, every chapter has been reviewed and updated. The accounting chapter was almost completely replaced, for example, and important changes in securities law were incorporated in the relevant chapters. Additionally, every chapter now has a table of contents.

From the Publisher

Learn how ESOPs work and how to make your plan thrive

Although roughly 6,500 U.S. companies have an employee stock ownership plan (ESOP), many businesspeople are not well acquainted with them. In turn, many ESOP companies and their service providers know there is more they could be doing to follow best practices, make the plan a success, and create a thriving, productive company of employee-owners. At the National Center for Employee Ownership (NCEO), a nonprofit membership organization, we have conducted extensive research and created a wealth of content to help you make the right decisions and find the right connections, whether you are evaluating a plan or working with an existing ESOP. We also can help you decide on equity compensation, including at LLCs.

A guide to the rules, uses, benefits, and other aspects of employee stock ownership plans (ESOPs). A general guide to what ESOPs are, how they work and how to use them, valuation and financing, and more. Legal issues, 409(p) compliance, valuation, administration, incentive plans, sustainability, and more. Covers the law, bank & seller financing, M&A, valuation, and the 1042 rollover for a leveraged ESOP. A big-picture overview plus committee types, case studies and tips, what & when to communicate, and more. Fiduciary rules, ESOP basics, valuation, working with appraisers, board interactions, and insurance.

Serving on an ESOP company board demands care and raises special issues; this book covers it all. True-life stories about some of the mistakes ESOP companies make and how to avoid or fix them. Teaches through an annotated appraisal plus discussions of key issues. Issues for governing the ESOP company, plus our ESOP corporate governance survey. Legal, fiduciary, and tax issues for compensation, plus our executive compensation survey. Everything from the repurchase study to releveraging, plus our repurchase obligation survey.

Whether or not your company is for sale, it must understand what should happen when offers are made or solicited. Covers evaluating acquisitions, limiting their risks, alternative transaction structures, and best practices. Essays, case studies, and documents on the topic, which is crucial for ESOP companies. Join the ranks of the most successful ESOP companies, where employees actively identify problems and generate ideas. Covers plan types, legal & accounting rules, pros & cons, how much equity to share, what to use, and whom to award. Explains all the issues around LLC equity compensation, plus considerations for drafting plans.

Publisher ‏ : ‎ National Center for Employee Ownership (April 16, 2022)
Language ‏ : ‎ English
Paperback ‏ : ‎ 264 pages
ISBN-10 ‏ : ‎ 1938220994
ISBN-13 ‏ : ‎ 978-1938220999
Item Weight ‏ : ‎ 14.4 ounces
Dimensions ‏ : ‎ 6 x 0.6 x 9 inches