Learning Center/Equity Management/Stock option grants

Stock option grants

Learn how to create and manage stock option grants using Arxiv Stone's comprehensive equity management system with built-in compliance and tracking.

How to Create Stock Option Grants

Step-by-step process for creating equity grants in Arxiv Stone

1

Navigate to Equity Management

Go to your organization's Equity section in the dashboard

2

Click 'Create Grant'

Start a new equity grant by clicking the green 'Create Grant' button

3

Select Grant Type

Choose from Common Stock, Preferred Stock, Stock Options, SAFE, or Convertible Note

4

Enter Grant Details

Fill in grant amount (shares/percentage), exercise price, and grant date

5

Configure Vesting

Set vesting period, cliff period, and vesting start date

6

Assign to Team Member

Select the team member receiving the grant and add any notes

7

Review and Create

Review all details and create the grant - it will appear in your cap table immediately

Supported Grant Types

Common Stock Grants

Direct equity ownership grants for founders and early employees

Required fields:

  • Number of shares or ownership percentage
  • Price per share (often $0.001 for early grants)
  • Vesting schedule and cliff period
  • Repurchase rights and transfer restrictions

Stock Option Grants

Option grants allowing employees to purchase shares at a fixed price

Required fields:

  • Number of options granted
  • Exercise price (strike price)
  • Option type (ISO or NSO)
  • Vesting schedule and expiration terms

Preferred Stock Grants

Priority equity grants typically used for investor financing rounds

Required fields:

  • Number of preferred shares
  • Price per preferred share
  • Liquidation preference and conversion rights
  • Voting rights and board representation

Grant Management Tips

Plan Your Equity Pool

Reserve 15-20% of equity for employee grants before raising investment

Use Appropriate Grant Types

Use stock options for employees, common stock for founders, preferred for investors

Set Fair Exercise Prices

Ensure exercise prices reflect fair market value for tax compliance

Document Everything

Maintain detailed records of all grants for legal and tax compliance

Stock Option Grants Created!

Perfect! You now know how to create and manage stock option grants. Finally, learn about equity reporting and analytics.