A share certificate is a physical or digital document that serves as legal proof of ownership of shares in a company.
A share certificate is an official document that confirms you own a specific number of shares in a company.
It includes key details like the shareholder's name, number of shares owned, and the company's official seal or signature.
Share certificates work by providing legal evidence of your ownership rights in a company.
When you purchase or receive shares, the company issues you a share certificate as formal proof.
This document legally establishes your claim to dividends, voting rights, and other shareholder benefits.
Share certificates matter for founders because they establish clear ownership records from the start of your business.
They protect your interests if disputes arise later about who owns what percentage of the company.
Proper share certificates also demonstrate professionalism to investors and partners.
Share certificates are typically issued when a company is first incorporated and shares are allocated to founders.
They're also issued when new investors join the company or when existing shareholders transfer their shares.
Most companies issue them within a few weeks of share allocation.
In Ireland, a company has 2 months to issue a new share certificate to a new shareholder.
Share certificates display the company name, shareholder's full name, number of shares owned, share class, and certificate number.
They also include the date of issue and are signed by company directors or sealed with the company seal.
Share certificates should be stored securely in a safe place, preferably with other important business documents.
Keep digital copies as backups and ensure your company maintains proper share registers.
Lost certificates can be replaced, but the process involves statutory declarations and potential costs.
Share certificates can be transferred to new owners through a formal process involving transfer forms and updates to the company's share register.
The old certificate is typically cancelled and a new one issued to the new shareholder.
.svg)
