Creating a Vesting Schedule Template

If you have lots of options to issue with the same vesting schedule, it may be easier to use our vesting schedule template feature.

The vesting schedule template allows you to input the vesting schedule as a template and then select this template when issuing options.

You can do this by clicking on the “Templates” tab (under Equity Awards) -> green button “Add Template”.

Note: If you can't see the "EQUITY AWARDS" tab, you may need to go into "Settings and Add-ons" and tick "Options Addon"

You’ll then be directed to the page where you input the vesting schedule details.

“TEMPLATE NAME” (mandatory) - the name you want to give this particular vesting schedule e.g. EMI 2019.

Selecting Automatic Vesting:

Capdesk supports three different types of automatic vesting schedules:

“Automatic (Distribute Evenly)” - if the number of options is not divisible with the number of months, the system will ensure that options are vested equally over the vesting term.

“Automatic (Round Up)” - if the number of options is not divisible with the number of months, the system will ensure that more options are vested at the beginning of the vesting term than at the end.

“Automatic (Round Down)” - if the number of options is not divisible with the number of months, the system will ensure that more options are vested at the end of the vesting term than at the beginning.

Examples:

Automatic (Distribute Evenly) Automatic (Round Up)


“VESTING ON” (mandatory) - select when the template should vest. Should either be on the same date, the start of the month, or the last of the month.

“VESTING PERIOD (MONTHS)” (mandatory) - the total vesting period in months including any cliff e.g. if it vests over 4 years, you it will be 48.

“VESTING CLIFF (MONTHS)” (non-mandatory) - this is the period (in months) where no options are vested. This can be left blank if the option starts vesting immediately.

“VESTING CLIFF PERCENTAGE” (non-mandatory) - at the end of the cliff period, a % amount will vest. E.g. 12 options vested out of 48 options in total (12/48 = 25%).

“VESTING INTERVAL (MONTHS)” (mandatory) - The frequency of options vesting either or after the cliff period. If monthly, input 1. If quarterly, it'll be 3. If annually, it’ll be 12 etc.

Selecting Immediate Vesting:

“Immediate” - all options will be vested instantly. With an immediate vesting schedule you do not need to put any additional information.

Once you have filled the vesting schedule details, click on Save.

Note: Custom schedules i.e. milestones are not supported for the Vesting Schedule Template.

You can find out more about how to use a custom schedule here: https://capdesk.zendesk.com/hc/en-us/articles/360023987511-Preparing-an-Import-File

Once you have made your templates, they will appear on the “Template” page.

You can now issue an option grant and select the vesting schedule template.