Run ESOP buybacks without the operational overhead
Your employees want liquidity — Incentiv Transact gives companies a structured way to run ESOP buyback programs, and gives employees a secure way to sell vested shares through escrow-supported, compliant settlement.
ESOP buyback programs, without building infrastructure
Companies run ESOP buyback programs, tender offers, and secondary transactions on the same platform — without the operational overhead of building this infrastructure in-house.
Employees participate through secure escrow
When a company runs an ESOP buyback, employees sell their vested shares through Transact, with secure escrow and settlement instead of informal arrangements.
Compliant share transfers
Every share transfer during a buyback is executed with compliant documentation, keeping the process audit-ready.
ROFR and board approvals handled in-flow
ROFR notices, waiver collection, and board resolution drafting are part of the same workflow, so a buyback doesn't stall on manual approvals.
How a company might run an annual ESOP buyback window
Consider a company that wants to offer employees a chance to sell part of their vested ESOPs once a year. The company opens a buyback window and notifies eligible employees. Employees who want to participate submit their shares for sale. The standard ROFR and board approval workflow runs in the background, the company funds an escrow account for the buyback amount, and once approvals are complete, shares are transferred and the escrow releases funds to each participating employee — with the whole process logged for future reference.
- 1Company opens a buyback window and notifies eligible employees
- 2Employees choose how many vested shares to submit for sale
- 3ROFR notices, waivers, and board approval run through the standard workflow
- 4Company funds escrow for the total buyback amount
- 5Shares transfer and escrow releases funds to each participating employee
Common questions about ESOP buybacks
What is an ESOP buyback?
An ESOP buyback is when a company offers to purchase vested shares back from employees who hold stock options, giving them liquidity without requiring a full company exit or IPO.
How do employees get paid during an ESOP buyback?
Employees participate through Transact's escrow infrastructure — the company funds escrow ahead of settlement, and funds are released to each employee once their share transfer is complete.
Does Transact handle the compliance work for an ESOP buyback?
Yes. Our transaction team manages ROFR notices and waivers, drafts board resolutions, and prepares FEMA documentation for applicable share transfers in the buyback.
Ready to plan your ESOP buyback?
Book a demo and we'll walk through how a buyback window, ROFR workflow, and escrow settlement would work for your company.