How do I manage equity plans in Carta?

Managing equity plans in Carta involves several essential steps designed to facilitate efficient administration and compliance. First, users should ensure that they have set up their equity plan correctly within the Carta platform. This typically includes defining important elements such as the total number of shares available, the vesting schedule, and the types of equity instruments offered, such as stock options or restricted stock units. Once the equity plan is established, Carta allows users to manage the grants made to employees or other stakeholders. This includes issuing new grants, tracking vesting events, and ensuring that all participants understand their rights and obligations. Users can easily monitor the status of each grant, including vesting milestones, and initiate exercises when applicable. Additionally, Carta offers tools for reporting and compliance, which are critical for maintaining transparency and fulfilling regulatory requirements. Users can generate documents such as grant agreements and tax forms directly from the platform. Human resources teams or equity administrators should also regularly communicate with employees about their equity holdings, providing necessary education on how equity compensation works and its implications. For specific details or guidance related to your particular scenario, it may be helpful to explore the resources available on the current Carta website.