A share certificate (also called a stock certificate) is proof that the person named is a member of your company and holds the shares in your company, as stated on the certificate. A company must issue share certificates for its shareholders within two months of its formation or the date of a new share issue or transfer. An issue of shares only becomes binding on a new shareholder when the company notifies them with this stock certificate.
When should I use a share certificate?
Use this share certificate template for
- new individual shareholders
- in a recently formed company
- in an existing company issuing more shares
- existing individual shareholders
- receiving transferred shares
- that have lost their certificates
What’s included in a share certificate?
This share certificate template covers the key information needed, including:
- name and address of the shareholder
- number of shares held by the shareholder
- type of shares (ordinary)
- share price
- date of issue
- a unique share certificate number, and
- details of the company issuing the shares
What’s a share certificate?
A share certificate or a stock certificate is used as proof that the person named on it holds shares in a relevant company.
Do I need a share certificate?
You will need to create a share certificate to give to shareholders when you first create a company or when you issue or transfer new shares.
Ask a lawyer for advice if a shareholder has shares:
- of a class other than ordinary
- of more than one class