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December 2009
Equity-Based Compensation Plans
Helping to build loyalty while conserving cash
by Simon R. Inman
There are many reasons why businesses turn to equity-based compensation plans. In good times, it can be a means of attracting and retaining key personnel when talent is scarce. In more troubled economic times, it can provide additional benefits and help cement loyalty and commitment without using precious cash. Any business contemplating an equity compensation plan must think carefully about the strategic objectives it is trying to achieve before determining what type of plan to adopt. Key ques...
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