The company that I work for has recently completed an allotment of an additional 50 shares in the company. The company now has 100 shares, 50 of which are currently held by the Director and 50 shares from the recent allotment. I have been asked to complete the relevant paperwork to assign those 50 shares to his wife who is to become a shareholder in the business. I am confused however as to the means of doing this as all advice leads me to believe that I should complete a stock transfer form, however, this form appears to be for the transfer of shares between people and that isn't the case in this instance.
Could someone please point me in the direction of the appropriate form and detail any other paperwork that must be completed? Many thanks Catherine
Bonus issue? Rights issue? Re-organisation of shares affecting their nominal price.
If you dont know you should refuse to do it and get the Accountant to do so - especially in light of the fact that such changes often cause major headaches (and such are COSTLY!) for both the limited company and the personal affairs of the Directors (the latter often because they just do something like this without getting proper advice). If they have had such advice then the said advisors should be following through with the paperwork.
Edited to include the word 'nominal' (as earlier I couldnt for the life of me remember that word!!!!!)
-- Edited by Cheshire on Monday 9th of January 2017 04:46:18 PM
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Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
Hi - I am the bookkeeper here and I completed an SH01 form for the additional 50 shares which all seemed to work fine. I just now need to assign those shares to the new shareholder.
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