E-commerce portal Hopscotch offers to buy shares from employees

At least 20 current employees at Hopscotch, a online kids fashion portal, will become “crorepatis” or millionaires this month as the start-up plans to buyback ESOPs (Employee Stock Option Plan).

The scheme was offered to about 100 existing employees, however, only 20 of them have opted to encash their ESOPs, an employee benefit plan which offers employees an ownership interest in the organisation.

ESOPs are are issued as direct stock, profit-sharing plans or bonuses and is very common phenomenon with start-ups as ESOPs act as a tool to contain high attrition and retain high-quality talent.