Employee Stock Ownership Plan (ESOP) - Muds Management

This presentation talks about Employee Stock Ownership Plan and its eligibility criteria. To know more about ESOP visit our website: https://muds.co.in/esop/

Transcript

1. ESOP MUDS Management Pvt. Ltd.
2. MUDS Services Constitution of Trust 1 3 5 2 4 6 Formation of ESOP Plan Identification & Appraisal of Eligible Employees Valuation of Company Creation of ESOP pool Documentation & Granting of ESOPs MUDS Management Pvt. Ltd.
3. What are ESOP? Employee Stock Ownership Plan or popularly known as ESOP, is a qualified and well defined plan meant to benefit both employee and employer, in which a employee primarily invest in the stock of the sponsoring company. ESOP MUDS Management Pvt. Ltd.
4. How does ESOP works? A company is which employee is working gives an opportunity to that employee to buy a pre-fixed number of shares of the company at a price which is lower than the market value and vest it after certain number of years, known as option period. MUDS Management Pvt. Ltd.
5. What does ‘Grant’ and ‘Vesting’ of the ESOP option mean? MUDS Management Pvt. Ltd. Grant of the ESOP refers to the commitment that an employer makes by informing the employee of the eligibility of the available options. GRANT Vesting of the ESOP means giving right to the employee to own share over the period of the time. VESTING
6. 01 ESOP Scheme & ESOP Grant Letter 02 Acceptance Letter 03 Documents of Board Meeting 04 Notice calling extraordinary meeting 05 Explanatory statement as per section 103 of the Companies Act, 2013 06 Certified true copy of approval of ESOP plan MUDS Management Pvt. Ltd. Documents Required to issue ESOPs
7. Eligibility criteria to be a part of ESOP • Promotor or the one who belongs to the promoter group. • Any director, either himself or any of his relatives , if he holds more than 10% of the outstanding equity shares under his name. MUDS Management Pvt. Ltd.
8. MUDS Management Pvt. Ltd. Employee Stock Option Scheme ESOS Incentive Stock Option ISO Employee Stock Purchase ESP Stock Appreciation Rights SARs Restricted Stock Award RSA Restricted Stock Unit RSU Various ESOP plan for the Employees
9. MUDS Management Pvt. Ltd. Legal Compliance to be taken care for implementing of ESOP scheme FEMA Income Tax Act Companies Act SEBI (ESOP Guidelines) Accounting Guidelines (ICAI,IFRS, US GAAP)