How to give employees equity in Denmark
How to give employees equity in Denmark
“Keep salary low and equity high.”
S. Altman
When you add equity to the salary, the right employees will be extra motivated.
It often makes sense to let employees earn equity instead of giving them ownership immediately. Enter stock options.
A stock option is a right for a person to become a shareholder in a company. The person only becomes a shareholder if certain terms are fulfilled.
The most common term is that the person must remain employed for a certain period of time. Another common term is that certain milestones must be met, such as the development of a specific product or the achievement of a certain sales figure.