ESOPs vs Sweat Equity: Which Is Better for Growing Startups?
Learn key differences, tax implications, compliance requirements, dilution impact, and the best equity strategy for growth.
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June 16, 2026
Learn key differences, tax implications, compliance requirements, dilution impact, and the best equity strategy for growth.
In today’s competitive corporate world, Employee Stock Option Plans (ESOPs) have become a key strategy for Indian private limited companies to attract, retain, and motivate employees. Particularly in India’s booming…
Section 2(37) of the Companies Act, 2013 defines “employees' stock option” to mean the option given to the directors, officers or employees of a company which enables such directors, officers…