Product announcements

Introducing Employee Share Purchase Loans

Keegan Vivian-Greer
Keegan Vivian-Greer

2m read

At Orchestra, we are committed to empowering businesses and their employees by making equity and employee shares easier, transparent and engaging. Today, we are delighted to introduce another helpful feature: Employee Loans for Share Purchase Plans

This new addition streamlines the complexities of administering share plans for companies offering employee share ownership funding. It also enhances transparency and engagement, helping employees better understand and invest in their future.

Why Employee Share Purchase Loans?

Offering company-provided share purchase loans is an elegant solution to helping fund your people into their ownership journey. Our new Employee Loans feature streamlines the administration and visibility of share purchase loans,catering to flexible loan options that make it easier for employees to participate in share plans without financial strain.

"Our team loves the Employee Loans and Dividends feature on Orchestra. They especially like the visibility they have across their loan being paid down... amazing what it does when things are made easy to see!" - Gayan Perera, Technical Director at Magnetism Solutions

Key benefits for scheme administrators

1. Simplified loan administration 

Managing loans for employee share plans can be a niggly task. Our Employee Loans feature automates this process. This means less manual paperwork and more time for you to focus on meaningful work. Our intuitive workflow provides a way to administer all loan activities, allowing you to issue loans, track statuses, outstanding balances, and repayment schedules effortlessly.

Dividend payment splits are automatically calculated and recorded by integrating to the Dividends module.

2. Transaction history transparency

Within Orchestra, you and your staff can view a detailed record of all loan transactions, from the initial agreement for each employee through to the final repayment. Your team who have existing loans for their share purchases will be able to track this history on their personalised Orchestra app for full visibility across the loan history. 

3. Improved communication and support 

Clear and consistent communication is key to successful loan management. You can use Orchestra to ensure employees receive automated notifications, reminders, and updates at every stage of the loan process. Plus, our dedicated support team is always on hand to assist with any questions or issues, providing peace of mind for both administrators and employees.

4. Increased employee participation 

By removing financial barriers, Employee Loans encourage higher participation rates in share plans. Flexible loan options are tailored to meet the diverse needs of your employees, making it easier for them to invest in their future. 

Getting started

It’s really easy to get started with Employee Loans. If you’re new to Orchestra, you can arrange a demo to see how this works. If you’re an existing Orchestra client, you’ll see this new feature under ‘ESOP & share plans’ within your left hand navigation bar when you next login. 

If you’re new to Employee Loans, and unsure what to consider if you’d like to offer an Employee Share Scheme via a loan-to-purchase structure, here’s a really good article which breaks down everything you need to know.

URL copied
to clipboard