Comparison of Co-Ownership Platforms: Rounde.nl, snpi.nl, sharesquare.co, winstdelen.com, and sharecouncil.co

There are many different companies that help you set up an employee participation plan (also known as an employee participation plan). These are ways to involve employees more in the organization. This is becoming increasingly common. According to research from Utrecht University, about 10% of organizations in the Netherlands offer some form of employee participation.

In this blog, we will first explain the different forms of employee participation that are relevant in the Netherlands. Then we will provide an overview of the various parties that are active in the Netherlands.

What employee participation plans are there?

• Share Plan: In a share plan, employees receive or buy actual shares in the company, which often leads to a strong sense of entrepreneurship. Although many employers initially want to grant shares, we often advise against this. This is because employees gain direct influence in the company and are allowed to participate in the shareholders' meeting. To prevent this, as an employer you can also grant SARs or certificates of shares to your employees (see below for more information).
• Certificates Plan: Certificates of shares resemble regular shares, but there is a difference in the rights attached to them. With certificates of shares, the employee receives profit rights but not voting rights. This means the employee benefits from the appreciation of the company but does not have a vote in the general shareholders' meeting.
• SAR Plan: An SAR (share appreciation right) is an agreement between employee and employer which states that the employee has the right to a monetary amount, which is equivalent to, for example, 1% of the company. Upon an exit, the employee receives 1% of the value. However, this is considered income and is therefore fully taxable. The advantage for the employer is that these costs are deductible for corporate tax purposes.
• PAR Plan: A PAR (profit appreciation right) is an agreement between employee and employer that states the employee is entitled to a percentage of the company's profits. Unlike an SAR, which is based on the appreciation of shares, a PAR is based on the actual profits earned by the company. This can be attractive to employees as they directly benefit from the company's profitability without being dependent on the market valuation of shares. The amount the employee receives is also considered income and is therefore fully taxable. For the employer, these payments are deductible for corporate tax, providing a tax advantage.
• Options Plan: Options give employees the right to buy shares at a predetermined price. For example, if an employee is allowed to buy shares for €10 each according to the options contract, and the company’s share value is €50 two years later, the employee can exercise the options and buy at €10, earning €40 (€50 - €10) per share. The tax authorities consider this income.
• Bonus Plan: A bonus plan is quite straightforward. It outlines agreements that the employee receives a monetary amount upon achieving certain results.

Which companies offer employee participation plans?

In the Netherlands, there are various parties that can help you bind employees to your organization. Below is an overview.

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RoundE

RoundE offers all the contracts and employee participation plans that are standard in the Netherlands. From shares, certificates, SAR, options, and bonus schemes, RoundE can assist you. RoundE also has a strong track record in the Netherlands with dozens of companies they have helped over the years.

RoundE focuses on 3 aspects: education, implementation, and administration.

1. Education - All information on the RoundE website is available to read for free. They have extensive articles on every possible form of employee participation. They also provide a free tool that helps people quickly determine which form of employee participation best fits their company.
2. Implementation - RoundE provides guidance on the implementation of employee participation plans. They assist in drafting the necessary documents, such as agreements and regulations, and ensure that everything is legally and fiscally compliant. They also support communicating the plan to employees and answering any questions.
3. Administration - RoundE has an online platform for handling all administrative matters related to employee participation. Employers can view and manage their shares, certificates, options, or other participations here. Of course, employees can also log in to check the value of their participation.

With the help of RoundE, you can not only choose the right form of employee participation but also ensure the implementation and administration run smoothly.

SNPI

SNPI, which stands for the Dutch Participation Institute, is one of the oldest institutions involved with employee participation. They also help outline the possibilities. They have a community of advisors who are affiliated and share knowledge through white papers and workshops.

SNPI mainly focuses on certificates of shares with a STAK structure. They are less focused on other forms.

Sharecouncil

The Sharecouncil is also primarily focused on certificates of shares. They are a relatively young company that helps businesses set up a STAK. In addition, they have developed their own platform (similar to RoundE) where you can manage the certificates.

ShareSquare

ShareSquare approaches it somewhat differently. They specifically focus on Stock Appreciation Rights (SAR arrangements). They guide you in setting these up and have also created their own platform to manage the administration of this.

winstdelen.com

Additionally, there is Winstdelen. They make it possible for employees to share in the company's profits. RoundE offers something similar with a PAR (profit appreciation right). You can read all about it on this page.

Furthermore, Winstdelen also provides an online environment to manage the profit sharing. This is also similar to what RoundE offers.

'Classic' Advisors

There are also classic advisors who can help set up employee participation. These parties often offer various kinds of advice and do not necessarily specialize only in employee participation. Think of Groenwegen Lukaart, ABAB, de Cooperatie Expert, and Alfa.

Unlike the previously mentioned parties, these advisors do not offer their own platform to manage the employee participation agreements.

Conclusion

All parties are respected in the industry. While RoundE offers all forms of employee participation, the other parties focus on one specific form. If you are curious about which form is best for you, we recommend taking the free test.