How to Electronically Incorporate a Company with Multiple Share Types?

Introduction

• Companies can be submitted electronically if the share capital has only one share class, however if the company only has Ordinary shares but split into multiple share types, for example, Ordinary A and Ordinary B then the company can also be incorporated electronically.
  
  If there are more than one Class of Capital the company MUST be submitted by post (for example, Ordinary and Preference shares).

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Step 1 – How to Incorporate a Company with more than one Share Type

1. From the menu bar, select Edit | Share Register

The following screen displays.

2. Click Yes to enter new share types.
   
   
   
   The following screen displays.
   

3. Enter the Class of Capital, for example, Ordinary.

4. Click into the Short name field, this will be completed automatically (this can be changed if required).

• The Short Name is generally used on the Form IN01 (Companies House Forms).

5. Enter the Nominal value.

6. Tab to the next field, Show on documents as is completed automatically with the nominal value and the currency sign, such as, £1 but can be changed if required.

7. Complete the Comment field if required.

8. Click OK.

The following screen displays:

9. Enter the Effective date of change.

10. Click Log.
    
    
    
    The following screen displays the Basic dialog screen with the question; Issue share of (share name) share type?

11. Click Yes
    
    
    
    The Share Event for Business Screen displays:

12. Click New, and select Share Issue from the drop-down options.
    
    
    
    The following screen displays.

13. Select the Subscriber option.

14. Enter the Number of shares to be issued.

15. Enter Issued on date.

16. Click into the Payable per share field (this will be completed automatically but can be changed if required).

17. Click into the Description field, this will also be completed automatically.

18. Click OK.
    
    
    
    The following screen displays:

19. Click Add and choose the relevant member from the drop-down options:

20. Highlight relevant member and click on Select.

21. Enter the Number of shares.

22. Click into the Nos. from field, this will automatically complete the relevant fields.

23. Click Post.
    
    
    

24. If the shares are fully paid, the Total payable amount MUST be the same as Total paid.

The following screen displays.

24. If the shares are held jointly, select the Jointly held option, if not applicable, click OK.
    
    
    
    The following screen displays.

25. Click Close.
    
    

• The above screen confirms that this issue is now complete.

24. Close all screens to return back to the main menu.

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Step 2 – Create Additional Share Types

1. From the menu bar, select Edit | Share Register

The Share Register screen displays:

• Step 1 must be repeated in order to create additional share types, all the share types MUST be of the same class for example, Ordinary A, Ordinary B, Ordinary C.

2. Close all screens to return back to the main menu.

• The XML application to Companies House shall classify all shares as ‘Ordinary, However the Memorandum and Articles of Association will show the breakdown of all the share types as follows:

• • Displays the Share Types

  • Section 3 in the Articles of Association displays Share Capital

  • 3 Subscribers listed at the end of the Memorandum will display all share types in which they hold shares

• Please ensure the Memorandum & Articles have been checked prior to submitting the IN01 form to Companies House. The accuracy and suitability of the data provided to Companies House is the responsibility of the person submitting the Incorporation Form.

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