Start Up Shares

[gpc]

Hi all,

Just a quickie...

I have started my ltd company with 100 shares at 0.01gbp all allocated to myself.

Now....i have read conflicting views as to how many and at what value you should have shares at start up....

any opinions here?

Thanks
Gpc

[JonSmile]

it's up to you really.

But issuing all the shares on day 1 means you have limited any future options with regard to selling shares to your partner, getting new share capital etc

Me, I have 1000 allocated £1 shares and 2 £1 issued shares.

[Clare@InTouch]

It's entirely up to you, you can have 1 £1 share or 100 £1 shares, it just means that you owe the company that amount. If you're the sole shareholder then you own 100% of the company no matter what.

For accounting purposes keeping the values in terms of whole pounds is easier, rather than 10 1p shares.

There is no longer an authorised share capital, so you are free to issue future shares at any time you want.

[gpc]

excellent.......
Thanks for the advice

Regards
gpc

[Stag Cozier]

It's entirely up to you, you can have 1 £1 share or 100 £1 shares, it just means that you owe the company that amount. If you're the sole shareholder then you own 100% of the company no matter what.

For accounting purposes keeping the values in terms of whole pounds is easier, rather than 10 1p shares.

There is no longer an authorised share capital, so you are free to issue future shares at any time you want.

WSS

Nothing wrong with what you have done. Just make sure that your accounts disclose the correct shareholdings and share values at the end of the financial year.

[lje]

The issuing of new shares is different for companies which are incorporated after October 2009. You can issue new shares with a newer company - there's no limit set when the company is incorporated. But you do need to tell people.