We span legal and accountancy to get EMI options right for you
Who are Simply Equity? We are experienced legal and accounting professionals specialising in EMI option schemes. We’ll guide you in setting up and maintaining your EMI option scheme.
Tak Matsuda is a Solicitor with experience from leading commercial law firms, and Simon Eagles is a Chartered Accountant, who has worked at major financial institutions.
We’ve set out to simplify the process for setting up and maintaining EMI option schemes. Our goal is to get more companies to use EMI option schemes to reward and retain their employees.
Set up your EMI option scheme
We’ll take you through five steps to set up your EMI option scheme. Our pricing is fixed and transparent – see ‘Pricing‘
You’ll be guided through the key timings – see ‘What are the key timings for EMI option schemes?’ The process takes about five weeks.
Maintain your EMI option scheme
We’ll help you maintain your EMI option scheme with all the services you need. You can talk to us via phone, email or video
Employees can access an option valuation calculator and other key information on their EMI options through their personal Dashboard
How EMI options save tax
You could incentivise and reward employees with EMI options, non-qualifying options, shares and/or cash. EMI options have generous tax breaks for employees – see ‘What are the tax advantages of EMI?‘
The amounts given to employees in the example below have been adjusted between the EMI option, non-qualifying option, shares and cash so as to make the cost broadly similar for the company.
Award | EMI option | Non-qualifying option | Shares (worth £90k at year 4) | Cash (£90k at year 4) |
---|---|---|---|---|
Salary | £70k | £70k | £70k | £70k |
Exercise price | £10k | £10k | – | – |
Share value on exercise (assumed 4 years after grant) | £100k | £100k | £90k when issued Fewer shares given as the employee is not paying the exercise price | £90k cash Less cash given as the employee is not paying the exercise price |
Sale price of shares (assumed 3 years after exercise) | £150k | £150k | £135k | N/A |
Total tax** | £13,700 | £45,400* | £51,799* | £43,399* |
Net amount received | ||||
Effective tax rate | 9% | 30% | 38% | 48% |
**Assuming no change in current tax rates; none of the employees’ annual exempt amount has been used; and any additional Employee’s National Insurance is ignored
Why you should use Simply Equity
Engage your employees
Through their dashboards, employees will have clear information about the EMI share option scheme, including how much their EMI options would be worth and when their EMI options could be exercised.
Your peace of mind
We’ll help you comply with the EMI option rules, such as filing the EMI annual returns, and answer questions from your employees as regards their EMI options, for instance because they are leaving or reducing their hours.
Easy admin
We’ll do what we can to leave you with only what you have to do. Email or call us if you need help with your EMI share option scheme. We’ll email you if you need to do anything regarding your EMI options.
Our note for explaining EMI options to your employees can be downloaded HERE
Experts from the start, not sales
Clear and transparent steps
Competitive fixed fees – no subscription
EMI option valuation calculator
Keep track of option pool
Produce your EMI annual returns for HMRC
Plain English
E-signatures
Online storage EMI option documents
Organise new EMI options
Deal with leavers’ EMI options
EMI compliance checks
EMI share option scheme – FAQs
What is an EMI share option?
What is EMI’s key feature?
Can my company use EMI options?
Which employees can get EMI options?
Do employees need to pay for an EMI option?
What is the exercise price?
What does ‘exercise’ an EMI option mean?
What is vesting, and when does vesting occur?
How much is an EMI option worth?
Is there a minimum time that employees need to hold EMI options?
What happens to an EMI option if an employee leaves the company?
What are the costs to set up and maintain an EMI option scheme?
Testimonials
“The team dashboard showing the EMI options is an excellent feature. Everyone can see the results of growing the company. Having everything in one place is neat too.”
Gretchen Heffernan
“Really useful having a single contact for both the legals and the valuation work. Smooth work on the EMI options from throughout, thanks Simon!”
Robert Littleford
“Being able to easily deal with leavers holding EMI options and also grant new EMI options for the fixed maintenance fee is very reassuring. I can recommend”
Pat Thornton