What Are Golden Handcuffs?

Golden handcuffs are a visual analogy of the equity incentive system, and a long-term incentive compensation system based on business results. The introduction of "golden handcuffs" is an objective need for enterprise development.

Golden handcuffs

Golden handcuffs are

Golden handcuffs refer to

Golden handcuffs as a kind of executive-oriented

Manager's golden handcuffs--

How to keep and

Equity incentive lies in a win-win situation, that is, the management layer obtains equity based on its prerequisite, that is, the twin sisters of incentives and constraints. In Jing Bangxue's words, constraints and incentives are two sides of the coin. Insufficient constraints and excessive incentives will cause management to reach them without too much effort, inevitably sacrificing the interests of the original shareholders. At this time, the "golden handcuffs" may become "golden watches". Excessive restraint and insufficient incentives will definitely dampen the enthusiasm of the management. At this time, the "golden handcuffs" will naturally become "iron handcuffs".