Equity incentive is a complex thing, not comprehensive enough, and it is superficial, so it is better to feel useful after reading it. If you feel useless, just pass by and shake your eyes. Equity incentive can play a role in some enterprises, on the one hand, because employees can get more money, on the other hand, because through equity incentive, employees have more sense of participation and can experience the pleasure of being masters of their own house. And if you, as a boss, don't want to delegate power in the minds of employees, and employees don't expect to participate in the depths of enterprise management at all, how can you have the enthusiasm to participate in the incentive plan?
Many small and medium-sized enterprises, when doing equity incentives, do not have perfect articles of association, for example, they do not sign a grant agreement when granting, and there is no equity transfer agreement or property share transfer agreement when transferring. When exercising, the incentive object is not informed in time, and there is no suitable exit mechanism when exiting. Good people and bad people who work and don't work all get so much salary, more work, less work, no gain. If you don't give equity incentives, employees are just working. If you give equity incentives, employees are no longer employees, but your partners, fighting side by side with you! Employees have seen the future development of the company and are full of confidence in the company. Under the perfect salary mechanism, it is undoubtedly icing on the cake to do a good job in the equity incentive system, which will only make employees be dead set on the company.