Types of Equity Offered at Upstart

Stock Options

An option gives you the right to purchase ("exercise") a specified number of shares of stock at a fixed price per share (the "exercise price") that is paid to Upstart at the time the option is exercised. Options vest over a period of time (the "vesting period") and are generally exercisable once vested. You can find more information about Stock Options here.

Restricted Stock Units

A restricted stock unit (RSU) is a right to receive company stock that is not fully transferable until certain conditions have been met. The restriction on the stock is removed over a specified period of time dependent on continuous service with the company. You can find more information about RSUs here.

ESPP

Upstart's Employee Stock Purchase Plan provides eligible employees the opportunity to purchase Upstart stock at a discount through payroll deductions. Eligible employees choose if they want to participate and how much to contribute - up to 15% of their base salary. Contributions are deducted from each paycheck over a set number of months called an "Offering Period." At the end of the Offering Period your contributions are used to purchase shares of Upstart stock. The price you pay equals 85% of the lower of the stock's value on the 1st day of the Offering Period or the Purchase Date. You can find more information about ESPP here.

You can find more information about stock administration here.