How Do I Bring in New Shareholders into My Private Limited Company?
Registered name of the company. Class and value of shares being transferred Number of shares being transferred Name and contact address of current shareholder Name and contact of new shareholder. Consideration money for the shares, if applicable. Stamp Duty liability, if any money is paid for the shares.
Private limited companies can add new shareholders at any time after company formation. To do so, existing shares must be transferred or sold by a current shareholder to the new shareholder. Alternatively, a company may increase its share capital by allotting (issuing) new shares. > `Transferring shares` To transfer issued shares from one person to another, a stock transfer form must be completed with the following details: 1. Registered name of the company. 2. Class and value of shares being transferred 3. Number of shares being transferred 4. Name and contact address of current shareholder 5. Name and contact of new shareholder. 6. Consideration money for the shares, if applicable. 7. Stamp Duty liability, if any money is paid for the shares. 8. Signature of transferor or authorised person. The new shareholder should be issued with a share certificate as proof of ownership. A copy of the stock transfer form should be given to the new and old shareholder. The company should keep a copy of new and old share certificates and the stock transfer form at its registered office address. If money is paid for transferred shares, a copy of the share transfer form should be filed with ROC along with the required Stamp Duty. If no money is paid for the shares, there is no need to file this form. Companies will be notified of the transfer and details of the new shareholder when the next annual return is filed.