Document background
The Equity Compensation Agreement serves as a crucial instrument for companies operating in Belgium to attract, retain, and motivate key talent by offering ownership interests in the company. This document is typically used when companies want to implement employee stock option plans, restricted stock units, or other equity-based compensation schemes. The agreement must be carefully structured to comply with Belgian legal requirements, particularly the Belgian Companies and Associations Code, tax legislation, and employment laws. It's especially relevant for start-ups, scale-ups, and established companies looking to align employee interests with company growth. The document needs to address specific Belgian tax implications, social security considerations, and may require works council consultation depending on the company's structure.
