EQUITY THAT IS CREATED BY A OWNER IN A COMPANY AS A DIRECT 
RESULT OF HARDWORK

A sweat equity share is an equity share issued by the at a 
discounted price or for a non cash consideration. This may 
be issued to shareholders technology partners.

The phrase `sweat equity' refers to equity shares given to 
the company's employees on favourable terms, in recognition 
of their work. Sweat equity usually takes the form of 
giving options to employees to buy shares of the company, 
so they become part owners and participate in the profits, 
apart from earning salary.

The term is sometimes used to describe the efforts put into 
a start-up company by the founders in exchange for 
ownership shares of the company.

swet eqity shares are the shares issued to the employees at 
a discount rate to become the part of the owners.