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Arch World Review Spain · Europe · Business · Technology 16 July 2026
Founders

Stock options are no longer an extra and startups should design them before hiring key talent

Spain's Startup Law improves the tax framework, but an option plan only works with clear rules on vesting, departure and ownership.

By AWR Editorial Desk 16 July 2026 1 min
International business meeting used as a neutral illustration of investment due diligence

Law 28/2022 introduced specific treatment for shares or equity interests granted to employees of emerging companies. The purpose is to help startups with limited cash compete for specialised talent.

Improved tax treatment does not automatically make a stock-option plan effective. Its value depends on how ownership, vesting and the consequences of leaving the company are explained.

A percentage is not enough

An offer should define the instrument, the capital base used for calculation, the acquisition schedule and the effect of future rounds. Two offers showing the same percentage may represent very different economic outcomes.

Departure rules must exist in advance

Good-leaver and bad-leaver treatment, exercise, repurchase and deadlines should be established before conflict occurs. Improvised rules at the end of employment damage trust and may obstruct future transactions.

The plan requires continuous communication

Employees should understand that an option is not guaranteed cash. Updates about funding rounds, dilution, valuation and targets turn the incentive into a transparent relationship rather than an abstract promise.

Sources

Photograph: WolfVision GmbH / Wikimedia Commons · CC BY 2.0