Employee Stock Option Plan



ESOP- [Employee Stock Option Plan]

  • ESPO are becoming popular in India especially for executive in I.T firm.
  • In this case, specific type of employee are allotted company share below the market rate.
  • This allotment can be made to the employee as a bonus, payable to them.
  • ESOP provide to any share of the company at concessional rate to the employee including mangers.
  • The amount of share depends upon for payment-base on bonus-salary of employees.
  • Generally employees are restricted from selling the stock for sometime. This restriction period is called as lock-in-period.
  • The cost of shares is wholly deducted from the pay.


The following two tabs change content below.

Leave a reply

BMS.co.in is aimed at revolutionising Bachelors in Management Studies education, also known as BMS for students appearing for BMS exams across all states of India. We provide free study material, 100s of tutorials with worked examples, past papers, tips, tricks for BMS exams, we are creating a digital learning library.

Disclaimer: We are not affiliated with any university or government body in anyway.

©2020 BMS - Bachelor of Management Studies Community 

A Management Paradise Venture

Ask Us On WhatsApp

Log in with your credentials


Forgot your details?


Create Account