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| Step | Action | Responsibility |
|---|---|---|
| 1 | Company holds initial discussions internally and with advisors | COMPANY |
| 2 | Legal advisors report; Recommendations to the Board | ADVISORS |
| 3 | Board meeting - consider design issues: Free Shares, Partnership shares, Matching shares, Divided shares: - if Free Shares, whether performance linked, whether forfeiture by bad leavers - if Matching Shares, whether forfeiture by bad leavers and rate of matching - if Partnership Shares, whether to have accumulation period | COMPANY |
| 4 | Instructions to legal advisors to proceed | COMPANY |
| 5 | Appointment of trustees / administrator | COMPANY |
| 6 | Rules of scheme / trust deed / share agreements drafted by legal advisors. Communications material also drafted. | ADVISORS |
| 7 | Articles of Association and any Shareholders Agreement reviewed by legal advisors | ADVISORS |
| 8 | HMRC provisional approval | ADVISORS |
| 9 | Remuneration Committee approval* | ADVISORS |
| 10 | Planning of communications campaign and strategy | COMPANY |
| 11 | Drafting of shareholder circular* | COMPANY |
| 12 | Board gives final go ahead and determines bases of allocation | COMPANY |
| 13 | Explanatory booklets and communications material printed | COMPANY |
| 14 | Shareholder circular printed* | COMPANY |
| 15 | Shareholder circular and rules of scheme lodged with the Stock Exchange [no later than day of despatch of circular]* | COMPANY |
| 16 | Shareholder circular mailed* [21 clear days before AGM] | COMPANY |
| 17 | Final HMRC approval | ADVISOR |
| 18 | Shareholder meeting to approve* | COMPANY |
| 19 | Shareholder meeting to approve necessary changes to Articles** | COMPANY |
| 20 | Setting of initial value of shares [to be agreed with HMRC if private company] | COMPANY |
| 21 | Invitations issued to eligible employees | COMPANY |
| 22 | Invitation closing date [for free shares this is normally 14-21 days after invitations issued] | COMPANY |
| 23 | Ongoing communications with possible monthly purchase of Partnership Shares | COMPANY |
| 24 | Company pays contribution to trust for Free / Matching Shares and salary deductions for Partnership Shares | COMPANY |
| 25 | Trust acquire shares (purchased in Market or newly issued) and allocate to participants | TRUSTEE |
| * = Listed companies only | ||
