Incentivizing Employees with Company Equity Ownership

This program is designed to equip attorneys with the knowledge and practical skills necessary to advise small to medium-sized businesses on the complexities and effects of delivering company equity to employees.  It will discuss the delivery of equity in limited liability companies taxed as disregarded sole proprietorships and partnerships, as well as solutions for the delivery of ownership in entities taxed as Subchapter S Corporations.  The course will also touch upon considerations for C Corporations in order to deliver an understanding of equity delivery across various business forms.  Participants will obtain an understanding of how to design and implement equity compensation plans that align with their clients' strategic objectives, fostering employee motivation and retention, while complying with legal requirements and being cognizant of meaningful tax implications.

Whether advising startups looking to attract top talent or established entities aiming to retain key employees, attendees will leave with actionable insights and the confidence to guide their clients through the legal and strategic aspects of equity delivery.  This program is also suitable for legal consultants working directly with owners of closely held companies to craft or revise equity-based compensation schemes, ensuring they are both competitive and compliant.

Learning Objectives:

1. Examine various corporate structures and mechanics of equity delivery in each

2. Review general tax consequences of various equity delivery methods

3. Identify materials that counsel may prepare as part of a transaction (e.g. Profits Interest Plans)

4. Discuss long-term strategies and goals of equity deliveries, including employment termination and equity repurchase provisions