Sars | Medicine & Health > Diseases & Disorders | Business solutions from AllBusiness.com
Facebook Twitter You Tube RSS Feed
Related

Industry & Topics

Newsletter SignUp

Get your business loan online with confidence.Thousands of businesses have received loans to date. Get started now!

Sars

1-4 of 4 related articles
Today's Must Read
Hoover's Editors
How Health Scares and Product Recalls Can Hurt Companies - Even If It's Not Their Fault
By  | Filed In: Hog & Pig Farming and Animal Farming & Breeding
Companies and entire industries can suffer dire consequences from health scares and product recalls - and often they're just collateral damage.
Blog Post
Miranda Marquit
Swine Flu: Financial Markets Affected by Latest Global Health Scare
By  | Filed In: Sars and Infectious Disease
Swine flu affecting financial markets today.
Blog Post
Industry Focus: Mortgage Fraud Prosecution and Prevention
By  | Filed In: Real Estate Fraud and Fraud & Financial Crime
A paper released by the Mortgage Bankers Association advocates stronger enforcement of current laws to reduce and prevent mortgage fraud.
Blog Post
Consider SARs Instead of Stock Options
By  | Filed In: Stock Options and Personal Finance
Regarding Stock Appreciation Rights (SARs)--a non-stock compensation award that gives an employee cash equal to the appreciation in a company's share price over a period of time. "Some companies want to reward certain...
Blog Post
1-4 of 4 related articles

New On AllBusiness

Business Glossary

Definitions for: Stock Appreciation Rights (SARs)
Dictionary of Insurance Terms
Stock Appreciation Rights (SARs)

contractual rights to a stipulated percentage of the increase in the value of an insurance agency over a given future period of time. They are used to convey a percentage of the increase in the agency's value to a key employee without resulting in the owner(s) of the agency owning less than 50%. The advantages of such a stock transfer for the agency owner include the following:

  1. Noncompete agreements not further reinforced since the key employee does not receive benefits if an agreement is violated.
  2. The key employee is tied to the agency because that employee can become an equity owner without actually committing his or her own funds.

    These SARs are really long-term deferred compensation plans for the employee(s) whose ultimate value is tied to the increase in the value of the agency's book of business over the value at the time the right was granted to the employee(s). This circumstance should increase the commitment of the employee(s) to increase the economic value of the agency.

Copyright © 2000, 1995, 1991, 1987 by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.

Search the Business Glossary: