Issue of Shares

The shareholding structure of your business details the people who own your business and how much of your business they own. For example, if a company has two shareholders owning 50% of the shares each, they are entitled to an equal distribution of the profits the business makes after corporation tax on that profit has been paid.

Companies issue new shares for many different reasons including:

• to reflect the level of personal investment in a business at the outset and any personal investment made later on,
• to attract new directors and investors as compensation for their labour or monetary investment.
• to repay company borrowings, and
• to distribute to members of staff to encouragement involvement and loyalty.

For help and advice on issuing shares, please call us on (telephone number) or email us at (email address).