Profit Plan for Leaders and Top Performers Based on Vested MARE Stock


Overview
This plan provides a dividend-style profit-sharing program for key stakeholders holding MARE Stock. By tying awards directly to company profitability and important performance milestones, it creates strong alignment between employee rewards and company growth, giving stakeholders a true owner-like experience and shared investment in long-term success.
Key Features
Schedule
Formula
Distribution
Plan Trigger
Profit Trigger
Profit Pool
Milestone 1
Milestone 2
Milestone 3
Forms
How it works
This plan runs on an annual schedule, with payouts tied directly to both company profitability and stakeholder performance milestones. The yearly cadence gives everyone a clear target to work toward while ensuring rewards reflect true, sustainable business success.
Bonuses are calculated in two steps:
- Base calculation: Each stakeholder’s share of annual net profit is determined by their vested MARE Stock award. For example, a 2% award = 2% of net profit, assuming its vested
- Milestone adjustments: That payout is then adjusted based on milestone achievement. This ensures rewards go to stakeholders who are driving the right results, while also protecting the company. If growth or business goals are not met, payouts are reduced proportionally or withheld entirely.
The milestones are weighted to balance profitability, efficiency, and customer outcomes:
- Net profit margin > 10% → 50% weight
- Gross profit margin > 60% → 50% weight
If all milestones are met, stakeholders receive their full payout. If only some are met, payouts are scaled according to performance (e.g., hitting net profit but missing gross profit = 50% payout). This makes bonuses fair and directly tied to progress against company goals.
Payments are made in two installments:
- 50% at the end of the fiscal year
- 50% twelve months after initial payment
This payment structure reinforces both immediate recognition and long-term commitment, while ensuring the company only rewards when it is truly moving forward.
Who is this for?
This plan is a great fit for business owners who want to reward their best people like true partners. Without giving up ownership. It's especially useful for:
- Growth focused businesses that want to scale sustainably, ensuring payouts only happen when profit and performance goals are achieved
- Owners who want to keep key employees long-term, by giving them a reason to think and act like owners
- Managers and top performers (like GMs, sales leaders, or lead techs) whose work directly impacts profits and company performance
- Teams that want fairness and transparency, where payouts are tied to clear numbers everyone can see. Profit and performance goals.
- Business owners who want accountability, making sure rewards only happen when the company is actually moving forward
If you want your key employees to feel like they have skin in the game, sharing in the company’s wins, staying loyal for the long haul, and driving growth every day, this plan makes it simple and fair.