Stock Option For Employees
Not Tax Sheltered

(This form prepares a stock option for employees of a business. It has NO tax sheltering aspects at all and is appropriate for use ONLY after tax advice.)

EMPLOYEE STOCK OPTION

[Name], Inc., referred to as EMPLOYER, and Wallace Beaver, referred to as EMPLOYEE agree:

In consideration of meritorious service by EMPLOYEE on behalf of EMPLOYER, EMPLOYER grants to EMPLOYEE the option to purchase Common stock of EMPLOYER.

The option may be exercised after the EMPLOYEE has served 12 months of total employment.

EMPLOYEE shall be eligible to purchase 50 shares of stock every 3 months, or in the event of stock splits or other re-capitalization, an equal amount of shares, at 50% per cent of market value.

Dated: _______________.

For [Name], Inc.

_____________________________

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