1, market selection mechanism incentives,
Adequate market selection mechanism can ensure the quality of managers and has a long-term constraint and guidance on managers' behavior. It is difficult for managers determined by administrative appointment or other non-market selection methods to keep consistent with the long-term interests of shareholders and make the incentive and restraint mechanism work.
2. Market evaluation mechanism incentives,
Without objective and effective market evaluation, it is difficult to make a reasonable evaluation of the company's value and managers' performance. Under the circumstances of excessive market manipulation, excessive government intervention and social audit system, the capital market is inefficient and it is difficult to determine the long-term value of the company through stock price, so it is difficult to evaluate and motivate managers through equity incentive.
3. Control the incentive of constraint mechanism,
The control and restraint mechanism is a constraint on managers' behavior, including laws, regulations, policies, articles of association and company control and management system. A good control and restraint mechanism can prevent managers from acting against the company and ensure the healthy development of the company.
4. Comprehensive incentive mechanism,
Comprehensive incentive mechanism is to guide managers' behavior through comprehensive means, including salary, bonus, equity incentive, promotion, training, welfare and good working environment.
5. Policy environment incentives,
The government has the obligation to provide policy support for the formation and strengthening of various mechanisms through laws, regulations and management systems, and create a good policy environment. Improper policies will hinder the operation of various mechanisms.
Precautions:
1. Shareholders and management of a company often overlap, so it is almost unnecessary to consider the equity distribution between shareholders and management, only the equity distribution between shareholders. Three factors need to be considered when determining the equity distribution: the contribution of shareholders at the resource level, the control of shareholders at the corporate governance level, and the future financing and hematopoietic space of the company.
2. One of the important bases of the company's equity incentive plan is the capital contribution of each shareholder, but this is not the only basis. Corporate equity incentive plans are often inconsistent with the proportion of capital contribution. Some startups will adopt the form of yin-yang agreement.
That is to say, on the one hand, through signing relevant agreements, it is clear that the shares of shareholders are inconsistent with the proportion of capital contribution, on the other hand, industrial and commercial registration is completed according to the proportion of capital contribution. However, this kind of behavior has great legal risks. In the future, the company will be involved in litigation, and the rights and interests of shareholders will hardly be protected by law.