Stock transfers can be done digitally via the platform for our Pro Customers.
If you are on a Pro package, you will be able to use the platform to transfer shares. This article will walk you through both: creating a new stock transfer, and recording one that has already occurred off platform.
First, log onto the platform and go to your Company Details page:
Here, on the lower let part of the page, you will see the Stock Transfers link.
This will take you to the Stock Transfers page.
Where you will see a list of Transfers, if you have already done some through the platform, and "Create new transfer" button on the top right. Click this to go to the transfer details page:
Here you will first need to choose who the shares are coming from, and going to.
If the shares are being transferred to a new shareholder, you will need to click the "Add a shareholder" button. This will take you to a page where you will enter their details, click "Add shareholder" at the bottom, and then navigate back to this transfer page.
Next, you will need to choose:
- How many shares are being transferred;
- What share class they belong to;
- The transfer date (if you are recording a transfer that has already occurred). If this is a new transfer, you can still enter a date here if necessary;
- Cash considerations (total);
If this transfer is part of a series of transactions that exceeds a £1,000 aggregate, stamp duty will be due on the transfer. You will need to request the HMRC stamped stock transfer form from the buyer once the duty is paid, and upload the stamped form. Please note until this is uploaded the process will not be complete. We will send you an email with instructions and a link to upload. Here is the government guidance on paying stamp duty for stock transfers.
If you are recording an off-platform transfer that has already happened, enter the appropriate date above, then follow the process below. You will get a chance to upload the existing Stock Transfer form and necessary resolutions after clicking the "Generate stock transfer" button at the bottom.
Finally, select whether you want a Share Purchase agreement to be sent to the seller and buyer. This is simply a contract that both parties sign that confirms that both are willing participants in the transaction.
Once you're happy, clicking "Generate the stock transfer" will create the draft transfer, but won't send anything out to shareholders right away, you still get to review the details and upload documents if you are recording an off-platform transfer:
If you haven't confirmed your company governance settings, you should do so by clicking the "Update & Confirm" link. If any of the other details need changing, clicking the Edit link on the top right will take you back to the previous page.
Scrolling down the page, you will see a list of steps to complete and necessary resolutions:
If you are recording an off-platform transfer, upload the resolutions and signed stock transfer form by clicking the relevant link. If this is a new transfer, you can preview all of the documents here.
Once you're happy, just click the "Start the stock transfer" button, this will send out all the necessary documents to be signed. If you are recording an off-platform transfer, now you're done! If this is a new transfer, you still need to wait for the documents to be signed.
(If it's all gone wrong and you want to start again, just click the red Delete button at the very bottom of the page).
Once started, you can check in on the progress of the transfer by going back to the Stock Transfers page from your Company Details page:
Once the documents have been signed, thats it, all done!
Note that if there is any tax liability arising from this transfer for either party, you will need to take care of this off-platform. The process can not be completed until this is done, and the stamped form is uploaded.