Compensation through ownership is a powerful tool to incentivize organization growth but it can also lead to complex questions regarding value and taxes.

Entrepreneurs and business leaders often find that a major source of their compensation is derived from equity ownership of the enterprise in which they are involved. Compensation through ownership is a powerful tool to incentivize organization growth but it can also lead to complex questions regarding value and taxes.

Developing and maintaining a sale strategy and a process for valuation tracking can create a clear understanding of total compensation and can alleviate the uncertainty surrounding the decision to exercise the right to sell.

Planning topics often include:

  • Net Unrealized Appreciation (NUA)
  • Option valuation
  • Restricted Stock planning
  • Qualified and Non-qualified option planning
  • Employee Stock Ownership Plans (ESOP)