This is the second edition of Options to Ownership, Equitybee’s monthly LinkedIn newsletter for startup employees. Our mission remains the same: to make stock options clear, practical, and actionable so you can confidently own what you’ve earned.

📝 Equity 101: ISO vs. NSO - What’s the Difference?

If you’ve been granted stock options, chances are they fall into one of two categories: ISOs (Incentive Stock Options) or NSOs (Non-Qualified Stock Options). They sound similar but come with very different tax rules and outcomes.

Here’s what you need to know:
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⚖️ Why this matters

The difference between ISOs and NSOs can mean thousands of dollars in taxes. Knowing which type you hold helps you plan the best time (and way) to exercise.

🚀 Takeaway

Whether you have ISOs or NSOs, your options can be a life-changing part of your compensation. But without a plan, you risk losing them. Understanding the difference is step one. Finding a way to exercise is step two.

Read the full guide on ISOs vs NSOs to see real-life examples that illustrate how taxes play out in practice.

📊 Equitybee by the Numbers

As of July 2025, we’ve helped 2,650+ employees from 840+ companies unlock their equity, with $235M+ in transaction volume funded.

🔦 Case Study Spotlight:

ServiceTitan In one of our recent case studies, we shared how ServiceTitan employees used Equitybee to exercise their stock options and keep their ownership stake without draining their savings. Read the full ServiceTitan case study

👀 Coming Next Month

Why your stock options matter when leaving your startup + Equitybee’s checklist for protecting your equity.

Important Note: Equitybee does not provide tax advice. You should always consult with a qualified tax advisor about your specific situation.