Jeremy Goldstein obtained a J.D. from New York University School of Law. He was honored with a distinction in all subjects from Cornell University and obtained a B.A. from the University of Chicago.
He is a partner at his own law firm called Jeremy L. Goldstein & Associates and has been a partner at previous firms. Goldstein is also the chair of Mergers & Acquisitions, a subcommittee of the Executive Compensation Committee at the American Bar Association.
Jeremy Goldstein is known for sharing his views and opinions in articles. He has been published both online and in print. Recently he shared his knowledge concerning stock options and knock-out options. Goldstein broke down all the advantages and disadvantages of offering stock options to employees.
Many companies have stopped offering stock options in recent years. A lot of these organizations have cut stock options as a way to cut costs, but there are many other reasons why companies would make such drastic changes.
Employees may be complaining. If the stocks of a company drop significantly, employees may not like this. If this happens employees may turn on the company and see their investments as worthless. Employees will have a reason to stay informed on the day-to-day operations of the company. They will know exactly when a company makes a bad decision that results in loss of value.
Employees who only purchase a few stocks, and if those stocks remain stagnant, the financial burden of managing their stocks may outweigh the growth. This results in employees losing money from their stock options.
The advantages far outweigh the disadvantages. Providing knock-out options to employees is a great way to save money. Knock-out clauses provide additional savings to the employee. They are also a great way for a company to show their appreciation of an employee with out increasing their tax burden with a pay raise.
As previously mentioned, employees will be better involved in the company if they own stocks. This can result in an individual putting more effort into their job. Stock options can be a great way to increase productivity.
With the right strategy a company can save a lot of money and implement a seamless stock option plan. Learn more: https://blogjeremygoldstein.tumblr.com/