EMI Share Options

[@letsplaywitheesa1668]

You’re brilliant! Keep making the videos. Thanks

[@elisphillips1552]

Very well explained - many thanks

[@MsHeidyn]

may I ask, in a situation in which a company brings redundancy subject to the table while they are in the company selling process, what happens to the employees with EMI contract scheme? Because usually, that's what happens when a company is getting sold, the company brings up the redundancy subject as a first step, and then you find out the company is acquired (publicly at least, cause this is known in advance by the management board) In other words, is there any risk for the employee who holds the EMI scheme contract to be made redundant without receiving the income of those options?

[@simongray2484]

First thing to do is go through thoroughly the EMI share option agreement as all the legal rights etc will be contained therein

[@MsHeidyn]

@@simongray2484 thank you for reply. I did but nothing mentioned about this, redundancies and such. Such company selling process

[@letsplaywitheesa1668]

Subscribed! EMI Share Options have to be exercised within 10 years. But it does not mean that a company who issued EMI options has to be sold within 10 years. If you please clarify? Thanks

[@simongray2484]

Assuming the plan is to exercise them on a sale then the company needs to be sold within 10 years and exercised within 10 years would bd the same thing

[@letsplaywitheesa1668]

@@simongray2484 so the life of EMI share options is maximum 10 yrs. what are the options to retains employees other than EMI. I must say I enjoy your videos a lot, thank you for making them.

[@simongray2484]

@@letsplaywitheesa1668 bonus, CSOP, gift of shares

[@MadeleineTeasdale-g7v]

What if your shares are greater than the £250K cap?

[@simongray2484]

@@MadeleineTeasdale-g7v if the conditions for EMI are not met then it defaults to what’s known as an ‘unapproved option scheme’.. which sounds more sinister than it is, it means there aren’t the same tax advantages

[@MadeleineTeasdale-g7v]

Thanks Simon, do you know what the tax % would be for an unapproved option scheme?