Employment packages are becoming more creative and important than ever.  Stock-option plans are no longer the best perq to keep a key employee at a company.  While ownership and options can be important, loan packages, profit participations, commission-deferrals, and retirement plan maximization strategies can be keys to making a key employee want to stay in a thriving or growing company despite fluctuations in the business.  Key employees in certain new funding situations may “buy-back” their ownership with success while an investor may convert a loan into equity.  Many key executives in the music businesses participate in the form of points or bonuses related to record sales.  Those levels are continuing to decrease or are being replaced by digital sales or “360 deal” income that does not relate to sales levels so new bonus schemes have to be evaluated closely.  Analyzing these new forms of income and watching the accountings related to a key executive become paramount to assuring the employee that they get what they bargained for in their employment deal.  Being transparent and strategic in key employee incentives is also important for the business owner and board recruiting or retaining the employee.  Below are some examples of the work that the lawyers within the firm have done in this area:

• Placement of key employees in key jobs

• Binding deal memo drafting on employee and employer side

• Longform employment and option or ownership agreements for the following types of employees:
  • Doctors
  • On-air Personalities with Publicly Held Companies and National Syndicators
  • Lawyers and In-House Counsel
  • Record and A&R Executives
  • Publishing Executives
  • Promotions Executives
  • Directors of Sales
  • Private Bankers
  • Litigation Avoidance
  • Defense and Prosecution of Covenants not to Compete
  • Trade Secrets
  • Sales of Professional Practices and Earn-Out Agreements
  • Company Sales with Employment Agreements