EMI Schemes & Employee Incentives

Enterprise Management Incentive (EMI) share option scheme is highly attractive to an employer and its employees

A white background with a few lines on it
Large number of people in a meeting room

Enterprise Management Incentive (EMI) Share Option Scheme


There are a number of tax advantaged company share schemes available, but many of our clients have found that the Enterprise Management Incentive (EMI) share option scheme is the most attractive.


As well as being tax efficient for the employee, EMI arrangements offer a great deal of flexibility to the employer as to which members of staff they wish to incentivise, the performance criteria they set for the scheme members and the protection the scheme provides for existing shareholders.

EMI basic rules – The employer


  • The employer company must be unquoted and not under the control of another company
  • The company must be carrying on a qualifying trade
  • The company must have fewer than 250 employees (or full-time equivalent) at the time the options are granted
  • The company’s gross assets must be less than £30 million
  • The maximum value of shares subject to options is £3 million, based on the market value of the shares at the date the options granted


one to one meeting
presentation occurring in an office

EMI basic rules - The employee/director


  • The maximum value of options that can be held by the employee is £250,000, based on the market value of the underlying shares at the date of grant
  • The employee or director must be full-time or work a minimum 25 hours a week or 75% of available working time (whichever is the lower)


At Friend Partnership, we have many years’ experience in advising on, creating and implementing EMI schemes and other share-based employee incentives (such as the issue of growth shares) for our clients.

Make An EMI Enquiry

KNOWLEDGE BASE

A long-exposure night shot of the Chicago Theatre marquee with bright motion blurs from passing traffic.

Theatre Tax Relief and the Global Stage: A Guide to International Touring

18 March 2026
The most compelling reason to develop a show in the UK is the ability for foreign theatrical production companies to claim TTR, thus reducing the financial risks
Three gold bars on a dark, reflective surface. Each bar is marked

Inheritance Tax Reform: Why Residence Is Now the Deciding Factor

18 February 2026
Under the new rules, the treatment of assets will depend on both their location and the individual’s UK residence history, replacing "domicile" as a key test

OTHER SERVICES WE PROVIDE

portrait photo of a business man
man holding a card with the letters SEIS on it
image of a modern meeting room