Remove Employee Remove Retention Remove Stock Options
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Choke the Churn: How to Prevent Employee Turnover in Startup Businesses

Up and Running

In my time, I learned a thing or two about the importance of preventing employee turnover. Aside from the time-consuming tasks of screening potential employees, interviewing, and re-hiring , losing and replacing employees is expensive. On average, it costs nearly three times an employee’s salary to replace them.

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Should You Offer Equity Compensation to Employees?

Up and Running

If you’re thinking about extending equity to an employee or a vendor (as in the example above), you should know that the topic is multi-faceted. If however you are giving a “normal employee” an incentive stock option plan (more on that later), that’s entirely different. Finding great employees first.

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A Different Approach to Refreshing Stock Option Grants

Feld Thoughts

I’ve never really understood why the majority of stock option refresh grants are stacked grants mid-way through the granting process. Assume you hire someone and grant them 10,000 options with monthly vesting of four years with a one year cliff. One thing, however, has always baffled me. Let me give an example.

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How Should You Set Up Your Company’s Benefits Structure?

The Startup Magazine

Every business needs benefits to keep employees happy, comply with relevant regulations and outdo competitors when attracting new talent. To that end, here are some tips on how to create firm foundations for employee benefits. As such, any aims you have for your employee benefits structure must be centered around a realistic budget.

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Should Startups Care About Profitability?

Both Sides of the Table

It was a stock option incentive related “expense” but I bet you didn’t know that because in an era where we only read the headlines — they must be a train wreck losing billions. They got a bigger office space so their employees would feel comfortable and they could improve employee retention. Two-f **g-billion!

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How Great, Operationally-Focused CFO’s Can Transform Your Business

Both Sides of the Table

And it turns out that employee reviews matter. Stock option top-ups after a few years are vital retention mechanisms. Didn’t have employees sign non-solicitation agreements? Didn’t have employees sign non-solicitation agreements? Yet being a buttoned up company requires all this. Shame on you.

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6 Best Practices to Set Up an ESOP for Your Business

Up and Running

Employee retention, for both startups and established businesses, is more important than ever. More and more employees are leaving roles to join companies that offer greater flexibility, increased benefits, higher pay, or even a more mission-driven culture. Federal income tax-free earnings until employees take distributions.

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