In a private company setting, after the founders have been issued fully vested or restricted stock under their stock purchase agreements, the employees, consultants, advisors and directors who are subsequently hired commonly receive equity compensation through stock options. There are a number of reasons for this, including ease of administration, macro- and micro-market norms and … Continue Reading
Tyler Hollenbeck and Cisco Palao-Ricketts give their high-level recommendations for founders regarding terms and structure of equity incentive plans. Recommendations discussed include the size of equity plan share pool, authority to approve equity grants, types of equity awards, equity award vesting, transferability and early exercise of stock options. To read the full article on Accelerate, DLA Piper’s dedicated online resource … Continue Reading