Share Capital Structure

[PAG]

I want to change the share issue of my Ltd, I had it as 60/40 but want it 100 to me, how do I go about this?

get the person holiding 40% to sign form 88(2). Return of alotted shares. and sign form 2889B) resignation from being a director.

[TheFaQQer]

I have issued all 100 for one of my companies (95% to me and 5% to my kids) as it seemed the most simplistic model.

I asked my accountant about that and was advised not to - I think it becomes an issue if the children are under 18, since they have no say in the business, and it might appear to be a tax avoidance issue.

Isn't this essentially the "man and partner" argument that the Revenue are having at the moment - viewing the income from dividends as if it were all paid to one person rather than split?

[oraclesmith]

Afaik you just buy the shared off whoever has them.

Yeah, but the price might be an issue here vis-a-vis valuation and taxation. I considered doing that but gave up and left it at one each.

[Diestl]

Accountant / Legal terratory there.

Afaik you just buy the shared off whoever has them.

Yeah isn't this the Account/Legal forum?

[Sockpuppet]

Accountant / Legal terratory there.

Afaik you just buy the shared off whoever has them.

[Diestl]

I want to change the share issue of my Ltd, I had it as 60/40 but want it 100 to me, how do I go about this?

[Sockpuppet]

I have issued all 100 for one of my companies (95% to me and 5% to my kids) as it seemed the most simplistic model.

My other company however, myself and two fellow founders issued only 1 each as we expect to bring further people on board and it seemed easier to then issue more rather than transfer them.

Just make sure you pay your kids 5% of your dividends as well.

[Nixon Williams]

The difference is authorised and issued shares.

The company may have an authorised share capital of 1000 shares at £1 each, but may have only issued 1 share for £1.

If the share is issued the £1 is due to be paid to the company. You can part pay but you will still owe this money if the company became insolvent.

I hope thsi is clear?

Alan

[NewBoy]

I have issued all 100 for one of my companies (95% to me and 5% to my kids) as it seemed the most simplistic model.

My other company however, myself and two fellow founders issued only 1 each as we expect to bring further people on board and it seemed easier to then issue more rather than transfer them.

[Sockpuppet]

You don't "buy" shares. When setting up a company you assign them - they cost you nothing.

I have a 1000 shares in my company only 1 of which has been issued.

[Maxamus]

i think i've only got 1 ordinary share in my company.....

[ChrisW]

Hi All,

When setting up a limited company, what is the best/cheapest way of organizing the share capital?

If there is a Total Share Capital of 100 and they are worth £1 each, do I need to issue 100 and buy all 100 myself? Is it possible to just issue 1 and buy that? or issue 100 and only buy (and would I then be the owner or not)?

Thanks,
Chris