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Executive Planning Archives - Wealthspire

incentive stock options ISO

What Are Incentive Stock Options (ISOs)?

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All of today’s largest, blue-chip companies began as the small start-ups of yesterday. Some created entirely new industries, like Google and Netflix, or drastically altered them, like Tesla and Rivian. Most, if not all, grew to become the names we recognize today through equity-based compensation, enriching their founders, executives, and early employees alike (along with investors). A key part of equity compensation, particularly for earlier stage companies, is incentive stock options (ISOs). Incentive Stock Options (ISOs) – Defined ISOs give employees the right, but not obligation, to purchase company stock at a hopefully lower grant price, compared to the fair…
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