While employee share option schemes (“ESOPs”) and other long term incentive plans (“LTIPs”) come in a variety of shapes and sizes, they all share the same essential purpose of retaining, rewarding and incentivising employees. By linking part of an employee's remuneration to the company's financial performance under an ESOP, employees have a direct and tangible incentive to contribute to the company's success, as higher company performance will increase the value of their individual rewards and incentives. ESOPs are also a useful tool for employers to help retain and reward valuable staff members, as the incentives offered under an ESOP are typically staggered over time such that the longer an employee remains employed by the company, the greater their ESOP rewards will become.