Phantom Share Agreementwith expert lawyers

A Phantom Share Agreement grants a person a number of “phantom” or notional shares that mirror the value of actual company shares, without giving them legal ownership or shareholder status. These phantom shares are tracked internally and linked to key events or milestones.

The agreement typically covers:

• Valuation method: how the phantom shares are priced, for example based on company valuation or a specific formula
• Vesting schedule: whether the phantom shares are earned over time or based on performance
• Trigger events: such as a company sale, funding round, or a set date when payment becomes due
• Payout terms: a cash bonus paid to the recipient based on the value of their phantom shares at the time of the trigger

For example, if an employee is granted 1,000 phantom shares and the company is sold in the future at £10 per share, they could receive a £10,000 bonus payout.

This approach gives recipients the financial upside of shareholding, while the company avoids giving up equity or creating shareholder complexity. It can be a useful way to align team incentives with business success, especially in high-growth or founder-led companies.

We’ll help prepare a Phantom Share Agreement to suit your business requirements. This package includes:

• Drafting a Phantom Share Agreement
• Phone consultations of up to 60 minutes with a Sprintlaw lawyer, who will take your instructions, advise you on the key legal issues, and answer your questions about the document
• 1 complimentary amendment to the final draft we provide, as long as you request the amendment within 10 business days of delivery

Please note that this package does not include any regulatory advice or the preparation of disclosure documents.

Working with us is simple. Start by submitting an enquiry through our website using the form at the top of this page or on our Get Started page. A legal project manager will review your enquiry within 1 business day and get in touch to understand your needs. They’ll then send you a fixed-fee quote setting out the costs, scope and timing. If you’re happy to proceed, you can accept and sign our engagement letter online.

Once that’s done, we’ll connect you with an expert lawyer who will complete your project by email, phone or video call, usually within 5 business days. If you’re not looking for help with a specific matter, you can also explore our platform, which offers free templates, tools to help set up your business, and a free tier to get started.

Whether you need legal support or just want to browse resources, we’ve got you covered.

At Sprintlaw, we offer a range of legal services tailored to startups and small businesses. Our pricing is transparent and designed to suit different needs.

• One-off services: Many of our one-off legal services, such as document drafting or reviews, are offered at a fixed fee. Prices typically range from £100 to £1,500, depending on the complexity and scope of the work. You can contact our team at any time for a free quote.
• Membership plans: For ongoing legal support, we offer Sprintlaw Memberships. Memberships include benefits such as access to legal templates, a legal helpline, free legal consultations, and credits for services. We also have a free tier to help you get started, and our standard membership starts at just £33/month, with options to upgrade for additional value.
• Customised packages: For larger or more complex projects, such as custom contract drafting, we’ll provide a tailored quote once we understand your specific requirements.

We pride ourselves on being cost-effective while maintaining high-quality legal services. If you’d like a tailored estimate, feel free to contact our team.

Sprintlaw UK operates fully online, with our team working remotely across the UK to support startups and small businesses nationwide. Many of our team are based in London and often meet in co-working spaces, but our operations are fully digital, giving both our clients and team flexibility and efficiency.