Tag: stock options

Phantom ownership: How to use phantom units to incentivize star employees

Businesses often face the challenge of attracting and retaining star employees. It can be tempting to offer star employees ownership in the business to prevent the hardship of losing star employees after investing time, money, and resources into training and onboarding. The main drawback of offering ownership is potentially relinquishing some control in the business. […]

Understanding the Value of Stock Options and Reducing Option-Related Taxes

With hopes of a hotter IPO market on the horizon, many private company employees seek to better understand their equity. Two major factors come into play when thinking about equity in startups: how to value it and how the option-related taxes work. Employees need to understand their equity’s value to confidently exercise or sell, and […]

Employee Stock Options: Get Them Right

By Christopher Ferguson and Stephen Acker In 2010, Jen-Hsun Huang’s salary was $1. No, he’s not a fresh-faced intern. Rather, Huang is the CEO of Nvidia Inc., the graphics and mobile chipmaker with Intel-sized ambitions. In that context, $1 seems like a meager reward. You would imagine that out of the firm’s $844 million in […]