How do small companies allocate equity?

Legal analysis: 1. About partners: On the premise of considering issuing shares, it is more important to determine partners and judge whether they can become long-term partners. 2. As for the major shareholder: whether it is a monopoly or multiple accounts, Banditt's opinion still requires the founder to have a certain degree of dictatorship in the early stage, that is, there needs to be a single major shareholder; 3. About the amount of capital contribution: When splitting shares, all shareholders must contribute capital, and there shall be no shares among partners; 4. About retention: retention cannot rely solely on shares. There are many kinds of incentives for talents, and the incentive effect may be different for people with different needs; 5. Options: Besides stocks, options are also a form of consideration. An option is an option, which refers to the right to buy shares at a certain price at a certain time in the future.

Legal basis: Article 71 of the Company Law of People's Republic of China (PRC). Shareholders of a limited liability company may transfer all or part of their shares to each other.

Shareholders' transfer of equity to persons other than shareholders shall be approved by more than half of other shareholders. Shareholders shall notify other shareholders in writing to agree to the transfer of their shares. If other shareholders fail to reply within 30 days from the date of receiving the written notice, they shall be deemed to have agreed to the transfer. If more than half of the other shareholders do not agree to the transfer, the shareholders who do not agree shall purchase the transferred equity; Do not buy, as agreed to transfer.

Under the same conditions, other shareholders have the priority to purchase the equity transferred with the consent of shareholders. If two or more shareholders claim to exercise the preemptive right, their respective purchase proportions shall be determined through consultation; If negotiation fails, the preemptive right shall be exercised in accordance with their respective investment proportions at the time of transfer.

Where there are other provisions on equity transfer in the articles of association, such provisions shall prevail.