Issue of Shares

Issuing shares involves several steps: first, determining the type and number of shares to be issued. Then, you need to prepare a share certificate for each shareholder, update your company’s statutory registers, and notify Companies House of the changes.

Yes, you can issue different classes of shares, such as ordinary shares, preference shares, or shares with specific rights attached to them. Each class can have different voting rights, dividend entitlements, or redemption rights.

It depends on your company’s articles of association. Generally, if you have unrestricted authority to issue shares (as per your articles), shareholder approval may not be required. However, it’s advisable to check and comply with your company’s specific rules.

The timeframe can vary based on the complexity of your company’s structure and the number of shares being issued. Typically, it can take a few days to prepare and issue the necessary documentation.

Yes, there are legal requirements and regulations that govern the issuance of shares. These include compliance with Companies Act requirements, ensuring proper valuation of shares, and adherence to any pre-emption rights of existing shareholders.

Issuing new shares can dilute the ownership percentage of existing shareholders unless they have pre-emption rights or are offered the opportunity to purchase the new shares in proportion to their existing holdings.

Yes, issuing shares is a common method for companies to raise capital. It allows you to bring in new investors or provide existing shareholders with an opportunity to increase their investment in the company.

You will typically need to prepare a board resolution authorising the issuance of shares, share certificates for each shareholder, and update your company’s register of members and statutory books.

The cost can vary depending on the complexity of the issuance and the specific requirements of your company. Please contact us for a tailored quote based on your needs.

Yes, we offer ongoing compliance services to ensure that your company continues to meet its statutory obligations regarding the issuance of shares, including updating registers and filing necessary documents with Companies House.