So, you think that you might want an Enterprise Management Incentive share option scheme (EMI)? Well, there are a couple of other commercial issues that you may wish to consider even at this very early stage in the EMI implementation process. What size of option pool...
Fast growing entrepreneurial businesses that implement Enterprise Management Incentive share options are very frequently the same businesses looking for external funding from venture capitalists, or seeking investment from individuals under the tax-advantaged Enterprise Investment Scheme. But how do these work together? Here are five things you...
Let’s go back to basics, and explore the fundamental benefits, potential pitfalls, and overall reasoning behind establishing an employee share scheme. What is a Share Scheme? A share scheme is a way to offer equity-related rewards to employees. By awarding employees with a share of the company,...
RM2 has currently completed share plan annual returns for all our clients, including those who run the Share Incentive Plan (SIP).. RM2 provides a full administrative and trustee service for private and smaller listed companies that operate this fantastically tax efficient all employee share plane,...
Share plans annual return season is upon us. RM2 is in the midst of preparing approximately 150 share plan returns for our clients for EMI, SIP, CSOP, SAYE and “Other” (the category that covers all non tax advantaged share plan arrangements such as Growth Shares...
Were The Smiths actually singing about share schemes consultations? Okay, probably not. But RM2 has been talking to people about the government’s consultation on EMI, and we’ve also been reading a recent report produced by the Social Market Foundation on employee share schemes in the post-Covid...
When it comes to employee share plans, the administration that goes into the schemes is very important, but it can also be quite difficult for companies to comprehend and handle. It may be easier to outsource the administration. Below are the reasons why it may...
While there was little in the Budget directly affecting employee share plans, the Treasury has launched a consultation (promised in fact in Budget 2020) relating to Enterprise Management Incentives (EMI). It is a “call for evidence” and the government’s stated aim is to obtain more...
Employee ownership trusts (EOTs) are becoming increasingly popular across many business sectors. Even the traditionally conservative legal sector (I can say this, because I’m a lawyer!) is starting to embrace this business model pioneered by Aardman Animations and Richer Sounds. Crossland Employment Solicitors recently announced...
Fast growing entrepreneurial businesses that implement Enterprise Management Incentive (EMI) share options are very frequently the same businesses looking for external funding from venture capitalists, or seeking investment from individuals under the tax-advantaged Enterprise Investment Scheme (EIS). But how do these work together? Here are five...
Do the shareholders and the Emloyee Ownership Trust company need independent valuations?The trust (or trustee on behalf of the trust) must not pay more than a fair value for the company. The fair value is established by an independent valuation. RM2 do not believeit should...
In spite of the challenges of the pandemic, 2020 was a bumper year for new Employee Ownership Trusts (EOTs), according to flash results of the EOT Survey, maintained by RM2 for the Employee Ownership Association. There were 104 new EOTs established in 2020, just one short...
Suddenly it’s December … Where did this exceptional year go?If you had big plans to put in place a share plan for employees this year, but you’ve not quite got around to it you could start working on a 2021 New Year’s Resolution now &...
The Office for Tax Simplification’s (OTS) most recent report doesn’t just look at tax simplification, but includes policy recommendations relating to capital gains tax (CGT) - an interesting extension of the Treasury’s usual instructions to the OTS. Some of the recommendations, if implemented, could create...
Share plan administration is never easy, even if you are a small company with only a couple of people participating in your plan. This article looks at some of the common problems facing companies who are looking to independently manage their schemes. Who's in charge around...
