Research On The Equity Incentives Of Non-listed Companies

Equity incentives was a long-tradition operation in China, but not mature at the same time.Our regulations on equity incentives of listed companies were published not long ago, and even none for non-listed companies.Thus there are few listed companies who have acted this incentive, while non-listed companies acted in the way as free as they wanted.The author encounted with a high-tech company who wanted a plan on equity incentives so as to hold on its core employees, while it also want to be listed in one or two years.They hope this plan will stimulate their employees and do not make any obstacle with their IPO at the same time.As the introduction, the 1st chapter introduces the background and meanings of this reaserch and how it will consider these relevant questions.The 2nd chapter starts from the theories on equity incentives, considers the relevance between equity incentives and company governing and performance.This chapter also makes it clear how it developed all around the world.The 3rd chapter mainly compares the detailed contents of equity incentives between listed companies and non-listed ones, including their characteristics, advantages and disadvantages. The preliminary conclude reveals that equity incentives of listed companies are restrained more strictly and more likely go to fail.Thus operating the equity incentive before the company be listed is pretty good if the employees are quite crucial for the company.Chapter 4 analyse some equity incentives of non-listed companies which have been acknowledged by CSRC.Each of them has some distinctive characteristics in their incentives plans so that the anlyse of them will be an indispensable reference for making a plan.At last, this essay makes the detailed contents of a plan of equity incentives, which can be used as a conference.