23. Bonus Plans Who, When, Where, Why? Who: Senior execs, Department directors, people with quotas & /or quantifiable time-driven targets When: Annual, based on company & individual performance, spot grants can be used Where: After minimum revenue or break-even Why: Reward quantified short term performance
25. Bonus Plans Mechanics Bonus = Corporate Performance * Individual Performance * Base Salary %. Bonuses will be paid twice yearly, at the discretion of the CEO. Bonuses will only be paid if corporate AND individual performance are 50% or higher and the company is profitable.
26. ESOP Who, When, Where, Why? Who: Depends. Everyone? Admin? Senior team? When: At time of hire. Spot grants & annual top ups Where: Anytime after ESOP in place Why: Reward long term performance
27. ESOP How Much? Senior Management - % of company Non-founder CEOs - 8 - 10%Founder CEOs - 0 - 3%COO / President - 3 - 5%CFO - 1 - 3%CTO - 1 - 3%VPs 0.75 - 1.5% Team - % of base