Here we explain the role of Vestd Nominees Ltd
Full beneficial ownership of all V class growth shares on the platform sits with the individual who receives them. Vestd has no control or influence over what you choose to do with your shares.
Legal ownership, however, may sit with Vestd Nominees Ltd, if so chosen by the company. This does not entitle Vestd Nominees Ltd to any economic rights at all, such as payments in relation to dividends or share sales, which always go to the beneficial owners. It will be made clear to you if this is the case.
This is a structure that has been adopted by a number of share related platforms (for example Seedrs, Syndicate Room and Crowdcube), and the reasons for it are as follows:
- to ensure that the business doesn’t get a fragmented capital table (with lots of small shareholders), but has only one legal shareholder in addition to the founders and investors
- to make it quick and easy for us to securely manage the various transactions on the platform
- to protect the interests of all those on the platform
Vestd is authorised by the FCA to safeguard and arrange transactions in shares and share options.
When a company leaves the platform, and has any shares with Vestd Nominees as legal owner, Vestd Nominees will transfer legal ownership to the beneficial owners, and the company will no longer be able to attach any conditionality to the shares.