Exercise Early Exercisable Options on Carta using ACH

Setting up your bank account on Carta means you can electronically exercise your shares at anytime. Once your bank account is verified and connected, you can exercise your options right away and you do not have to worry about missing an exercise deadline. 

NOTE: only US companies and employees can use the ACH exercise workflow

1. First, click 'Exercise' next to the appropriate option grant.

2. If this is your first time exercising your grant, you will need to click 'Bank Account' to enter your bank account information. 

3. Enter your account and routing numbers on the 'Bank Account' page. 

It will take about  2-3 business days for account verification. You will see two small deposits in your bank account. Enter these deposits on Carta to verify your account.

4. Once your account is verified, go back to your portfolio and click on 'Exercise.'

5. Review your name, address, SSN and your bank account information. You can update your address by clicking on 'Update account.' Once you are finished, click 'Next.'

NOTE: If you have an early exercisable grant, please make sure to file the 83(b) election. The 30-day filing window starts the day the option holder submits the exercise request. This date can be found in the exercise history of the option grant, or in the "date of transfer" field on the 83(b) election. Click  here for more information about 83(b) elections. 

7. Type your name after reviewing the attached equity incentive plan, option agreement, and exercise agreement. Then, click 'Exercise Option Grant' to submit your exercise.

By signing the associated Form of Option Agreement, Form of Exercise Agreement and any other company-required documents, and authorizing the company to withdraw the required funds for the exercise, the option holder is irrevocably committing to exercising the option. It is not possible to cancel the exercise after submission. 

Once you exercise, your option grant will be sent to the company for approval. You can check the status of the exercise by navigating to 'Exercise Status.' 

For Administrators:  What an admin sees when an employee exercises an option grant

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