Employees participation scheme
Do you want your people to share in your company's profits or future growth? Bind key employees to your company?
In that case, setting up a participation scheme for your employees is a good option. One way to set this up is to separate control and economic ownership with the help of a so-called Stichting Administratiekantoor, or Foundation Trust Office for short. STAK, but other structures are also possible.
Shares for your employees
In the STAK, shares are certified. The voting and economic rights of the shares are split.
The voting rights are deposited with the board to be elected, usually the major shareholder(s). The shares, on the other hand, retain only the economic (profit) rights.
For this reason, a STAK is often established to allow employees to participate in the profitability and growth of your company without giving away control.
In addition, your employees also benefit from the increase in value within your company in a tax-friendly manner. Revenues are untaxed in Box 3 if the interest is less than 5%.
This makes it a good way to bind loyal employees to your company.
Steps for setting up a STAK
1 inventory and objective of the process
In this phase, the advisors of Florijnz, together with the company, list the employees who qualify. Decisions are made about the number of shares to be placed in the STAK, the intended period of entry and the possibilities of financing for employees. Ultimately this is translated into an instruction document for the employees and the advisors involved.
2 business valuation
To determine the value of the company, a business valuation is prepared. Florijnz is affiliated with the Dutch Institute Register Valuators. We have a lot of experience in the field of independent company valuations. The company valuation will be used as a basis for the price for which employees can get in.
3 disclosure to stakeholders
A phase then begins in which, together with other specialists under the direction of Florijnz, the new structure is implemented. The various subtasks involve:
Notary:
- Amends the Bylaws;
- Establish any new limited liability company (intermediate holding company), necessary with multiple operating companies;
- Contributes shares of underlying companies;
- establishes STAK ;
- Establishes administration conditions;
- Certifies shares;
- Organizes the transfer of certificates.
Accountant:
- Makes any contribution statement
- Ensures balance sheet is cleaned as of acquisition date
- Any excess cash is paid out for transaction
Fiscal
- Maintains direct contact with tax authorities for the rigged scheme
- Controls the structure fiscally
"In fact, every STAK arrangement is customized"
Hans Minnaar, founder Florijnz
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