Transfer Shares in a Limited Company
Limited company shares can be transferred or sold just like any other form of property. We offer a professional service for those who wish to transfer shares from one shareholder to another, including all compliance paperwork.
Please note: Details of share transfers will not be updated on the Companies House register until after the filing of the next confirmation statement (previously known as the annual return). Clients wishing to record share changes now should file an early confirmation statement. If share changes are required to open a business bank account, we always recommend filing a confirmation statement.
We can prepare a confirmation statement as part of this order – at an additional cost of £24.99.
What's included in our price?
We will prepare the necessary documentation:
- J30 Stock Transfer Form: A stock transfer form must be completed to legally transfer ownership from the existing shareholder to a new shareholder. If shares are sold for more than £1000, the new shareholder must send a copy of the transfer form to HMRC and pay the required Stamp Duty.
- Meeting Minutes: All registered companies are required by Companies Act 2006 s.248 to maintain minutes of all meetings of the directors and for these to be available for inspection by any director. The directors should approve share transfers and issue minutes confirming the approval.
- Share Certificate(s): Companies are required to issue share certificates to shareholders within two months of an issue of shares, or the date when the documents necessary to effect a transfer have been received by the company.
How it works:
- Click on the ‘Order’ icon.
- Enter the required details and complete the application form.
- Checkout and pay.
- You will receive digital documents in 2-3 working days by email, including stock transfer form, meeting minutes and share certificate(s).
- The stock transfer form needs to be signed by the transferor and transferee, and filed with your company records.
- If required, we will file a confirmation statement to record the share transfer(s).
- Updated Statutory Registers are not included.
- If applicable, the stamp duty fee is not included.
- Documents will be delivered by email. Printed documents are available for an additional fee.
- Changes will not be visible on public record until a confirmation statement is filed at Companies House.
Frequently asked questions
When will my documents will be ready?
Documents will be sent to you by email within 2-3 working days, after all required information is provided.
Can I order this service if I did not form my company with Quality Company Formations?
Yes. We offer this service to all customers, regardless of whether they have incorporated a company with us.
What information do I need to provide about a new shareholder?
- Full Name
- Contact Address (This address will be displayed on the share certificate)
- The number of shares being transferred/issued
What class of shares can be issued?
Only Ordinary shares can be issued. Creation of additional share classes or amendments to the article of association are not included in this service.
What is stamp duty?
Share Transfers in excess of £1,000 incur a tax or duty of 0.5% on the transaction, which will be rounded up to the nearest £5.00. If you buy shares using a stock transfer form, the form needs to be sent to HMRC for stamping, with stamp duty paid no later than 30 days after the date of the transfer.
Example - If you buy shares worth £1050, you’ll pay 0.5% on this amount, which is £5.25. Therefore the amount of £10 is payable in Stamp Duty.
What is a confirmation statement?
A confirmation statement (previously known as the annual return) is a report containing accurate and up-to-date information about a limited company on a certain date. The purpose of filing a confirmation statement (at least once every 12 months) is to confirm the limited company details, and report to Companies House any changes to shareholders' details and/or issued share capital.
Why should I file a confirmation statement?
If you would like to see updated shareholders information on Companies House records, you should file a confirmation statement; otherwise new shareholders will not be visible until the next confirmation statement. Most banks will request that up-to-date shareholder information is recorded at Companies House.