I am looking for some information on Management Share Option Plan or a Management Incentive Plan, where, depending on performance of the new company, Management will be incentivised either through the issue of shares or cash. Is there a simple way to work out a kind of formula to be fair to both management and shareholders.?

I am also looking at adding two classes of shares, with one for Founders and Management, and another for future shareholders, and what value could I give the two classes of shares?

Does anyone have any basic guidelines or words of wisdom or help to offer?


Geraldine Aust