A company cannot issue any of its shares unless the directors of that company approve such an issue of shares. To issue and allot new shares in your company, you must:
- convene a board meeting at which the directors can approve and resolve to authorise the issue and allotment of the new shares. Alternatively a written resolution may be passed;
- file the share allotment documents with the Companies Registry;
- issue a new Share Certificate;
- update the register of members; and
- deliver the new Share Certificate.
If you choose to have a meeting of the board of directors to pass this resolution, it is necessary to record the minutes of this meeting. You will therefore need a Board Minutes to Issue Shares. Alternatively, the board resolution can be passed by way of a written resolution using a Board Resolution to Issue Shares.
- Details of the company;
- Details of the meeting (if using Board Minutes);
- Date of passing the resolution;
- Details of the applicant;
- Registration number of the company;
- Number of shares to be allotted and the value of the shares;
- Price paid for the shares (if any); and
- Total value of shares in issue.