EMI (Enterprise Management Incentive)
A tax-advantaged UK share option scheme designed for employees of smaller companies.
EMI lets qualifying UK companies grant share options to employees with significant tax advantages, helping startups compete for talent against higher salaries. Companies must meet conditions (under £30m gross assets, fewer than 250 employees, qualifying trade). It is the most popular employee equity scheme for UK startups.
Examples
A startup grants EMI options to its first ten hires. — An employee exercises EMI options at exit with favourable tax treatment.
How it relates to The Startup Foundry
Attracting talent with EMI options strengthens your Executability and team — both measured in the Investability Report.