Topic: Should You Incentivize Your Team with Phantom Stock?
In this episode we discuss:
What phantom stock is and how it can be used to reward employees
Why it's important to consult an attorney
How it's different from real stock
The importance of defining how you will value the business
Why Donnie tied phantom stock to the company's composite score
How you can set up an employee's compensation plan including phantom stock
How dilution plays a role in the arrangement
Donnie's experience with phantom stock and his views of the cons of this compensation model
Why Donnie says there are other tools to accomplish similar goals
PCO Bookkeepers’ Monthly Dashboard Demo Video explaining the Rule of 23 (starts around 2:00 mark)
Notable/Advice: "I am not a phantom stock hater, I would just say to be careful and think about what your true goal is." —Donnie Shelton
Like what you heard?
Rate and review us on Apple.
Tell a friend in the industry.