Transfer of Shares

What is a transfer of shares?

A transfer of shares refers to the process by which ownership of shares in a company is transferred from one party to another. This can occur through the sale or gifting of shares. The transfer must be documented and typically involves a stock transfer form, which is signed by the transferor and the transferee. The company's board of directors must approve the transfer, and the share register is updated to reflect the new ownership. Filing HQ streamlines this process, ensuring all legal requirements are met, including stamp duty obligations where applicable.

Transfer of Shares

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How it works

Step 1: Add Your Company

Add your company to Filing HQ using your company number and Company Authentication Code (CAC). This gives us the authority to file on your behalf.

Step 2: Enter Transfer Details

Navigate to the "Stock Transfer" section, where you can select the transferor (from shareholder) and transferee (to shareholder), and fill in other required details including the number of shares, share class, and consideration amount. Our system will generate the stock transfer form automatically.

Step 3: Sign Resolutions (if required)

If director or shareholder resolutions are required, we'll send them to the relevant parties via email for digital signatures. This ensures all legal requirements are met before the transfer is completed.

Step 4: Sign Stock Transfer Form

The stock transfer form will be sent for digital signature by both the transferor and transferee. Once signed, the transfer can proceed, subject to stamp duty payment if the consideration exceeds £1,000.

Step 5: Generate Share Certificate

Once the transfer is completed, we'll generate a draft share certificate for the new shareholder, which can be viewed and issued from the Share Certificates section.

Step 6: Update Confirmation Statement (Optional)

You can file the confirmation statement immediately after the stock transfer is complete so that Companies House has up-to-date information, or you can choose to file it later from the Confirmation Statements section.

Why Choose Filing HQ for Share Transfers?

Complete Compliance: We ensure all legal requirements are met, including proper resolution handling, stock transfer form preparation, and stamp duty guidance where applicable.
Digital Signing Process: Streamlined process for getting required resolutions and stock transfer forms signed digitally by all parties, eliminating paperwork and reducing delays.
Automatic Share Certificate Generation: We automatically generate share certificates for the new shareholder once the transfer is completed, ready for viewing and issuing.
Stamp Duty Guidance: Clear guidance on stamp duty requirements, including when it applies and how to pay it, ensuring full compliance with HMRC requirements.
Integrated Confirmation Statement: Option to file your confirmation statement immediately after share transfer, keeping all records up-to-date with Companies House.

Frequently Asked Questions

How long does the process take?: The process typically takes 2-3 days, though this timeline can vary based on resolution approval and stamp duty payment if required. Once you submit the necessary details, shareholders and directors may receive emails to digitally sign required documents. Upon completion of signing and any required stamp duty payment, the share transfer will be finalised.
Does it require a stamp duty payment?: Stamp duty is not required for share transfers where the consideration is £1,000 or less. However, if the consideration exceeds £1,000, stamp duty must be paid to HMRC before the transfer can be completed. The stamp duty rate is 0.5% of the consideration amount, rounded up to the nearest £5.
How do I pay stamp duty?: You can pay stamp duty directly to HMRC. For detailed guidance on how to pay stamp duty on shares, you can refer to the official Companies House guide. Our platform will guide you on when stamp duty is required and provide links to the relevant HMRC resources.
Are share certificates included in this service?: Yes, once the share transfer is completed, a share certificate will be automatically generated for the new shareholder. This can be viewed and issued from the Share Certificates section of your account.
Do I need to file a confirmation statement soon after a share transfer?: Whilst not immediately required, filing a confirmation statement after a transfer of shares ensures that Companies House has current and accurate information about your company's share ownership. You have the option to file it immediately after the share transfer through our platform, or you can submit it later from the Confirmation Statements section when it's due.
What information do I need to provide?: You'll need to provide details about the shares being transferred, including the number of shares, share class, nominal value, the transferor (current shareholder), the transferee (new shareholder), the transfer date, and the consideration amount (if any). Our platform guides you through each step and ensures all required information is captured.
Can I transfer shares as a gift?: Yes, you can transfer shares as a gift. In such cases, the consideration would be £0 or nil. No stamp duty is payable on gift transfers, regardless of the value of the shares. The same process applies, and all documentation will reflect that the transfer is a gift rather than a sale.
What happens to the old share certificate?: When shares are transferred, the old share certificate should be cancelled. Our system will handle this process, and a new share certificate will be generated for the transferee. The cancelled certificate will be marked as such in your records, maintaining a complete audit trail of the share transfer.

Transfer of Shares

Why Choose Filing HQ for Share Transfers?

Frequently Asked Questions

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