Have you ever wondered…
Why does a telephone keypad have the one in the upper left while your computer (or calculator) has it on the lower left? I’m guessing I’m not the only one that has misdialed the phone or input the wrong numbers in a spreadsheet due to this difference.
Just because things seem the same does not make them the same…
This is certainly true of employee ownership. There are many ways that a company can make stock available to their employees. Some sell them stock directly. Some use Employee Stock Ownership Plans (ESOPs). Others may use an Employee Stock Purchase Plan (ESPP).
Which approach is right for your company depends on a variety of factors, many of which have been discussed in prior posts. Engaging ESOP counsel can help you navigate the various ways to engage your employees through ownership.
But, much like your telephone keypad or computer keyboard are both data entry devices they have a lot in common. This short YouTube video looks at three companies that have used three different approaches to employee ownership. The commonalities far outweigh the differences.
So why are phones and keyboards different? Legacy. Touch tone phones were preceded by rotary dial telephones where the one was on the top. Keeping the one on the top allowed for consistency. Before electronic calculators there were adding machines, which had the one on the bottom.
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This document is intended to be educational in nature and is not intended to be taken as a recommendation.
The subject matter in this communication is educational only and provided with the understanding that Principal® is not rendering legal, accounting, investment advice or tax advice. You should consult with appropriate counsel or other advisors on all matters pertaining to legal, tax, investment or accounting obligations and requirements.
t16120100pi – 12/2016