Employees can acquire ownership interests in businesses through a benefit programme called the Employee Stock Ownership Plan (ESOP). It is a corporate finance tactic that ties shareholder and employee interests together. Until the employee leaves the company or retires, the company typically maintains the shares given to employees in a trust for their protection and growth.
It’s common practise to employ a neutral third party’s services when creating an ESOP. Any organisation or business that wants to establish such a programme can get support from dedserve.
Similar in purpose, Employee Welfare Trusts (EWT) are created to address employee welfare requirements, such as paying for child care, medical bills, and special costs not covered by remuneration.
We provide a range of tailored services in this field, such as:
- Examining the transactional documents
- Signing trust agreements and getting a PAN/TAN
- Opening and using trust accounts with banks, treasuries, and brokers
- Carrying out stock purchases and sales through a designated broker in accordance with a pre-approved investment policy
- Putting the benefits application policy into effect
- Keeping track of approvals and trust accounts
- Maintaining tax compliance and filing tax returns
- MIS and reporting