Articles and Resources

This page holds the articles and resources pertaining to the management and accounting for stock based compensation and employee ownership plans.

Article

Common SBC Mistakes - Part-1
Interest Rates

Many companies make the mistake of incorrectly determining the term and source of interest rates for stock-based compensation valuation. The interest rate used for valuation should not be the government bond rate for a term equal to the nominal term of the grant; This requirement is clearly outlined in ASC-718 and IFRS-2.

Article

ESPPs - Employee Ownership
with Positive Cash Flow

Employee Share Purchase Plan (ESPP) programs potentially represent the single most powerful tool that companies can use to preserve their cash. ESPPs also provide massive benefits for the company from a financial perspective, in addition to significant benefits for the employees as well. Most importantly, ESPPs effectively help companies raise capital from the best source of investors, the company employees.

Article

The Costs and Dangers of Using Spreadsheets for Equity Plans

Using spreadsheets is perceived to be of a lower cost. While in most situations, using spreadsheets results in a total overall incremental cost compared to the alternatives, in some unique situations spreadsheets may be appropriate. This article provides a set of check points to assess whether you can continue operating with your existing spreadsheets, or you need to use an automated equity management product instead.

Inspirational Article

How to Change your Mindset About Selling

Selling makes the world go round however, there is an awful lot of resistance to selling and a negative image of the practice; fueled by mistrust and fear. Believing that you are helping to solve a problem and providing a solution is the heart of selling successfully.

So why is selling a problem for most people? Is it because they think it’s all about telling and closing and persuading and handling objections? Yes…. and no.