Equity Incentive Plans

Equity Incentive Plans

Our independent valuations provide the benchmark for measuring and rewarding executive performance.

Services
  • Baseline valuations for SARs and other synthetic equity plans
  • Valuations to establish strike price for management stock options
  • 409(a) equity compensation valuations
  • Annual valuations for ongoing measurement and payouts
  • Valuation consulting for developing plan design

Equity-based management incentive plans can be a powerful tool to align management with the interest of owners and reward performance. However, they can have complex compliance requirements, and they may require regular valuations in order to track performance.

As with any compliance matters, proper compliance is essential for tax and other reporting requirements. An independent valuation is often the most robust solution to avoiding costly and disruptive compliance issues.

Furthermore, regular measurement is key to tracking management’s success in growing shareholder value. An annual valuation is one of the most useful ways of keeping the equity incentive plan front-of-mind for key employees.

We combine the rigorous approach we bring to all of our compliance engagements with the advisory perspective that we bring to all of our advisory engagements. Key elements of this combined approach are:

  1. Highly-trained valuation experts
  2. Strictly adhere to widely-regarded professional standards
  3. Apply standard, generally-accepted methodologies
  4. Build a relationship of trust with management
  5. Educate management on drivers of long-term value

We transform a compliance engagement into a powerful tool for driving shareholder value.