(1) Only when you spend money on it will you cherish it. This is a point that many training institutions talk about. From the perspective of consumer psychology, there is such a situation. Only when you spend money on things will employees pay attention and bind the interests of employees and the company together.
(2) Spend money on it and how much it costs, which can fully explain employees' recognition of the company's future development. Only when employees recognize the future development of the company and have expectations, are they willing to invest money to buy incentive shares. On the other hand, they can also screen out employees who share the same interests with the company;
(3) Buying money is actually another way of internal financing, which Xiaomi Group has done in the company.
How much does it cost to buy the company's incentive equity?
Because the equity incentive itself has the salary attribute, it is also a tool to restrain the core employees of the company. Therefore, in terms of reward price, it is not absolutely according to the market price, but also needs to distinguish employees at different levels.
Generally speaking, for early employees, the previous equity incentive award price is generally 1~3 fold of the market price.
And the basis for determining the market price, generally have the following ways:
(1) Take the latest financing valuation as the market price, which is a common way for startup companies at present;
(2) Estimate according to the company's recent net assets and the company's annual revenue × a certain coefficient.
Are the prices awarded to the same group of employees the same?
Generally speaking, the earlier you join the company, the earlier the equity incentive and the lower the grant price. No matter how much the price is awarded, it actually needs to be adjusted according to the actual situation of the company. Some employees are willing to spend money to buy incentive shares of the company, but they are limited by economic conditions, so they can be flexible in price and award method. It is the key to implement the equity incentive plan to ensure that the incentive equity really plays its role!
Equity is a comprehensive right of personal rights and property rights enjoyed by shareholders of a limited liability company or a joint stock limited company. That is, equity is the right enjoyed by shareholders based on their shareholder qualifications to obtain economic benefits from the company and participate in the company's operation and management.
Equity is the share of shareholders' investment in start-up companies, that is, the equity ratio, which directly affects shareholders' right to speak and control the company and is also the basis of shareholders' dividend ratio.
Equity is the right of shareholders, which can be divided into broad sense and narrow sense. Broadly speaking, equity refers to all kinds of rights that shareholders can claim from the company; In a narrow sense, equity only refers to the right of shareholders to obtain economic benefits from the company and participate in the company's operation and management based on shareholder qualification.
Equity refers to the rights that investors enjoy by partnering with citizens and investing in enterprises as legal persons.
When investing in a partnership organization, the shareholders bear unlimited liability; When investing in a legal person, shareholders shall bear limited liability. Therefore, although both are equity, there are still differences.
The contents of the ownership of corporate investors mainly include: shareholders only have the right to bear civil liability within the scope of investment; Shareholders have the right to participate in the formulation and revision of the articles of association of legal persons; Shareholders have the right to be the company manager themselves or to decide on the candidate for the company manager; Have the right to attend the shareholders' meeting and decide on major issues of legal persons; Have the right to receive dividends from enterprise legal persons; Shareholders have the right to transfer their shares according to law; Have the right to recover the remaining property after the termination of the legal person. These rights come from shareholders' rights to invest in legal persons.