Building Trust

ESOP’s Fables: Getting the story right

The concluding article of the quarterly theme on ESOP structures in Indian private companies captures the good-to-have, must-have and strictly forbidden map of the instrument

13/12/17

Payal Ganguly

Employee Stock Option Plan is a key tool to hire and retain top talent in private companies

Startup founders often do not pay attention to chalking up a clear ESOP structure until institutional investors come onboard

Taxation and company governance make ESOP complex to execute. Its structure has to be water-tight to protect the interest of the company and employees

Stringent rules governing ESOP allocation are usually circumvented by startups by issuing other instruments of reward and/or registering in countries outside of India

Flipkart.jpg

Want to read a free 200 word summary?

Create an account

At 70, when Ashok Soota decided to start over again as an entrepreneur, having worked in fabled wealth creation companies like Wipro Limited and Mindtree Limited, he had some ideas. Specifically around granting stock options to employees. With Happiest Minds Technologies (started in 2011), an IT consulting and services company, he envisioned a venture where…

To access this post, you must purchase Monthly Recurring, Quarterly or Weekly Product.

Read the full story. Subscribe to Premium.

Or subscribe. Why? Let us explain.

Subscribe now

Already Registered?

Related stories

More stories in /Reportage & /Startups

See all in Business, Reportage & Technology

This story is for subscribers only.
Subscribe or Log In

Read the full story. Subscribe now.

Or subscribe. Why? Let us explain.

The selected story is available only for paid subscribers. Might want to change your mind!

Subscribe now

Already Registered? Login

Questions?

What is The Ken?

The Ken is a subscription-driven media site. We write one story a day (weekdays only). These stories have sharp, original insights on technology, business, science and healthcare from India.

Why do I have to sign up to read your stories?

Our stories are not free. Well, some select stories are. But, a significant part of what we write at The Ken is for subscribers only. We put in a lot of effort and resources in writing our stories and believe that you must pay for good journalism.
Hence, our three plans. 1) The annual membership
2) The free sign up
3) The recurring quarterly subscription

On journalism and why you should pay for it, if you haven’t already seen it, here’s a great explainer from John Oliver.

So, one must pay for journalism?

Yes.

How many stories will I get if I take an annual membership?

200+ stories.

And, in the free sign up?

Four stories every month.

Do I get a refund?

We allow you to sample our journalism for free before signing up, and after you do, we stand by its quality. But we do not offer refunds.

I am not getting my daily emails. Do I have to whitelist emails from The Ken?

An added benefit of your subscription (free/paid) are the daily personalised emails. These emails, at times, might end up in your spam/junk folder due to emojis, attachments or images. In case you’re not receiving these emails, it might help to whitelist us. If the problem still persists, write to us at [email protected].

Why am I unable to access the archives?

Full and unrestricted access to our archives is a feature of our annual membership.

My payment is not going through, what can I do?

Please write to us at [email protected] detailing the payment error or queries.

See all FAQs

    See all results for Ken

    No results found for Ken.