I own a clothing company and a restaurant. Both are doing very well. The clothing company is reaching 5 years since opened. I always thought about giving shares to my staffs who stayed for 5 years or more. I feel like it will be better for everyone if they actually own a part of the company, so that they grow as the company grow. Or should I just give them a percentage bonus?

How should I go about this? I am never going to sell this company and I don’t believe that it will ever go public. I would like to keep at least 1/2 of the company. I currently have 27 staffs and 6 of them will soon reach 5 years employment. The ones who were there since the beginning are basically my family and good friends. Like sister in law, her bf, people I went to school with and people that my wife went to school with. I was thinking about maybe I will give them 1% every 5 years with condition that they will have to sell the shares back to me upon resignation or termination. We gross 2.2 million USD last year. So they will be getting about a 30% to 45% salary bonus, maybe pay quarterly instead of monthly.

I have enough money, I just want to give staffs more incentive to grow the company and have the business run more efficiently but itself.

Any opinions will be greatly appreciated. Thank you very much for your time.