Business Pitch Dictionary by pitch.dog
Founder & employee equity · Core

Employee equity pool

Also called: option pool, talent pool

ELI5

Company ownership set aside for team grants.

Used in conversation

“The employee equity pool needs to cover planned hiring.”

Definition

Shares reserved for employee and advisor equity awards.

Here “Employee equity pool” means: Shares reserved for employee and advisor equity awards.

Pitch context

You will see “Employee equity pool” in fundraising decks, data rooms, term sheets and investor conversations when the discussion reaches founder & employee equity.

Why it matters: In founder & employee equity, a loose definition can change rights, obligations, approval, disclosure or enforceability.

Caution

Meaning, enforceability and required process vary by jurisdiction and agreement; this definition is not legal advice.

Connected terms

  • Option poolThe search label “option pool” can route to both entries.
  • Talent poolThe search label “talent pool” can route to both entries.
Sources & evidence · 5

Direct term-level sources and supporting source families.