incentive stock option Synonyms
No Synonyms and anytonyms found
incentive stock option Meaning
incentive stock option (n)
an option granted to corporate executives if the company achieves certain financial goals
incentive stock option Sentence Examples
- Incentive stock options entice employees to remain with the company for longer periods, fostering loyalty and stability.
- By providing incentives to employees, incentive stock options can align their interests with the company's long-term success.
- The potential tax benefits associated with incentive stock options make them a valuable form of equity-based compensation.
- When employees exercise their incentive stock options, they gain ownership in the company, which can provide motivation and a sense of ownership.
- Incentive stock options allow employees to share in the upside potential of the company's growth without having to invest significant capital.
- The use of incentive stock options as a means of executive compensation has been controversial due to concerns about excessive executive pay.
- Properly structured incentive stock options can help attract and retain top talent by offering a competitive compensation package.
- Companies can customize their incentive stock option plans to meet their specific needs and goals, such as rewarding performance or driving innovation.
- The vesting period associated with incentive stock options ensures that employees remain with the company for a certain amount of time before they can exercise them.
- The performance criteria tied to incentive stock options, such as stock price targets or financial milestones, can align employee behavior with the company's strategic objectives.
FAQs About the word incentive stock option
an option granted to corporate executives if the company achieves certain financial goals
No synonyms found.
No antonyms found.
Incentive stock options entice employees to remain with the company for longer periods, fostering loyalty and stability.
By providing incentives to employees, incentive stock options can align their interests with the company's long-term success.
The potential tax benefits associated with incentive stock options make them a valuable form of equity-based compensation.
When employees exercise their incentive stock options, they gain ownership in the company, which can provide motivation and a sense of ownership.
