What are options?

• Options refer to:
  • BSPCE (bons de souscription de parts de créateur d'entreprise) **for French-tax based Alaners
  • Stock Options for non French-tax based Alaners
• Options give you the right to buy shares of Alan at a fixed price (that is called the “exercise price”)
• Our common objective is to make, together, the share price of Alan (Y) far bigger than this exercise price (X) so you can maximize your earnings
• To do so, you will convert your options into shares paying the fixed exercise price (X) before selling the shares for (Y) to get a profit

Example

Let’s share a comparison with a retailer selling a tee-shirt from a distributor.

A retailer will buy a tee-shirt at 10 euros on Monday (the exercise fixed price) to a distributor, and sell it for 30 euros (the market value) on Saturday to make a profit of 20 euros (before taxation).

This is the same principles for Equity: we give the right to buy a stock options at a “X” exercise fixed price and you’ll have a future possibility to sell it for “Y” euros (the market value at the time Alan will become a public company)

How does the vesting work at Alan**?**

<aside> 🤓 A vesting period refers to the amount of time in which an Alaner is required to work for us before they are able to exercise their options (ie. “convert” them into shares).

</aside>

• Hiring grant:
  • You have to wait one year to be able to exercise 1/3 of your grant, the “1-year cliff” - if you leave before the cliff, none of your options can be exercised
  • Then you can exercise progressively the remaining 2/3 on a monthly pace over the next 2 years (3 years of vesting in total)
• Refresher: you will have the opportunity to receive more options if you are consistently meeting expectations. These new options vest linearly over 2 years without the 1-year cliff anymore.
• Promotion grant: you will have the opportunity to receive more options if your level is reviewed. These new options vest linearly over 3 years (i.e 1/3 per year) without the 1-year cliff.

When can I sell my shares?

• You can sell the shares at the time of a selling event (the IPO of the company or if we organize one selling event for the team)
• Historically, during fundraising, we have allowed Alaners who have stayed for more than 2-3 years in the company to exercise and sell up to 5% of their options
• Our options are valid for 10 years~~~~

ie: if I am working at Alan and I have vested all my options, I can't exercise them after 10 years even though I am still working at Alan : after 10 years, they will be void

Terms