Make participation affordable
No matter how little employees contribute, they can become owners on the very next purchase date.
Change the value equation on your ESPP!
The employee stock purchase plan (ESPP) is a great benefit that allows employees the chance to become owners in the company. It promotes employee retention by making them invested in the company, and it supports talent acquisition as it’s a benefit not every company offers.
But all these benefits only work when employees participate. And what is the #1 barrier to participation in an ESPP?
Employees believe they cannot afford it.
Well, what if you could offer an affordable ESPP, one that allowed any eligible employee to become an owner no matter how little they contributed?
Want to learn more about how fractional shares change the equation for ESPPs?
Request a meeting with one of our employee equity plans experts.
Need more convincing on the value of fractional shares?
Check out the article, Overlooked and Underrated: Why Fractional Shares Matter
Still need more convincing?
Check out these top 5 benefits of adding fractional share purchases to your ESPP.
(Watch the video above for 3 additional benefits!)
Provide full value of benefit
Every dollar contributed to the ESPP is immediately used to purchase shares.
Support your talent strategy
The more employees participate in your ESPP, the more invested they are in the company.
Support diversity and inclusion efforts
Fractional shares make your ESPP a more inclusive benefit as it becomes accessible to all employees.
Eliminate administrative burdens
No need to track and reconcile the issuance of refunds or the carryover of unused funds.
Frequently Asked Questions
How hard is it to convert my ESPP from offering full share purchases to full and fractional share purchases?
Not hard at all! In fact, a change to just one sentence in your plan documentation is all it takes. Under the section for purchases, change it from full share purchases to full and fractional. That’s it!
Do fractional share purchases make it harder to manage my ESPP?
Quite the opposite, it makes it easier! You’ll no longer have to track carryovers or refunds from unused contributions. Dividend reinvestments get easier too, as the full dividend can be converted into shares.
Do all stock plan administrators allow fractional share purchases?
Many brokers strongly prefer not to trade in fractional shares on an ESPP and may not allow you to make the switch. If you’re facing that problem, move your plan over to Computershare and you can be up and running with a fractional shares ESPP in as little as 8 weeks.
My company does not have an ESPP. Why should we offer one?
There are so many reasons, not least of which is you allow all employees the opportunity to become owners of the company. For more reasons, check out the article, Nine Reasons to Offer an Employee Stock Purchase Plan.
Ready to make the switch? Start your own ESPP? Or just want more information?
When you’re ready to make the switch or launch your own ESPP, Computershare is ready to help. You’ll have the full support of our ESPP experts who have onboarded more than 400 plans with more than 2 million participants. You’ll have support every step of the way, from plan design, to obtaining board and shareholder approval, to implementation, launch and employee communications.
For more information or to speak to one of our experts, fill out the form below or visit us at computershare.com/EmployeePlans.
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