ESOP & Sweat Equity
This query is : Resolved
27 April 2010
What is the difference between ESOP & SWEAT EQUITY? Which companies can offer,to whom and at what conditions or terms?
27 April 2010
‘sweat equity shares’ to mean equity shares issued by the company to employees or directors at a discount or for consideration other than cash for providing the know-how or making available rights in the nature of intellectual property rights or value additions, by whatever name called. It is, therefore, necessary for the issue of sweat equity shares that the concerned employee either provides the know-how, intellectual property rights or other value additions to the company. (Expl II to Sec 79A)
ESOP is Employees Stock Option Plan which is given to all or group of employees which need not necessarily be for providing the know-how, intellectual property rights or other value additions to the company
ESOP is Employees Stock Option Plan which is given to all or group of employees which need not necessarily be for providing the know-how, intellectual property rights or other value additions to the company
27 April 2010
thanks
27 April 2010
Agreed.....
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