In certain industries, it has become increasingly common for private companies to bring key employees, executives, board members, and advisors into the ownership structure. This is typically done by offering equity participation in exchange for direct capital contributions, convertible loans to the company, or through compensation schemes that include shares, stock options, subscription rights, synthetic arrangements —or a combination of these.

The rationale is often to strengthen ties with valuable personnel. In some cases, companies may not have sufficient salary budgets to offer competitive compensation. Equity-based incentive programs can be an effective tool for attracting and retaining top talent, while also giving them a stake in the company’s growth.

Offering shares, options, or subscription rights creates long-term alignment between the individual and the company. These incentive programs are governed by agreements that define the terms, conditions, and rights of the participants. It is also essential to implement the necessary corporate resolutions to formally establish the program and ensure legal and shareholder compliance.

SKARP assists companies, employees, and other key individuals in establishing and implementing tailored incentive schemes. We manage the entire process—from structuring and designing the program to drafting legal documentation such as term sheets, agreements, and corporate resolutions. SKARP also handles the execution and allocation of shares, options, and subscription rights under the programs we help design.