Get help drafting a share register
When starting a limited company, one of the first and most important tasks is to establish a share register. This is a document where all details about the company’s shares and shareholders are recorded. It provides a clear overview of the distribution and value of the company’s shares and serves as an essential tool for maintaining order in share management.
The share register is a record containing information about the company’s shares and its owners. It can be kept in either physical or digital format, depending on what best suits the company. The key is to keep it updated with accurate information. This is especially important when there are changes in share ownership or new shareholders join.
The share register is not only an internal document for the company but also an important source of information for external parties, such as potential investors, authorities, and auditors. It serves as proof of ownership of the shares and can be used to ensure that the right individuals have voting rights at shareholders’ meetings.
Key points to include in your share register
The following information have to be included in the your register:
- Amount and type of shares
The share register should clearly specify the total amount of shares the company has issued and the type of shares. These may include Class A shares, Class B shares, Class C shares, or preference shares, each of which carries different rights and obligations. - Shareholder details
Name, personal identification number, or organization number, along with contact information for each shareholder. - Distribution of shares
Details on how shares are distributed among the owners, including information on when shares were purchased or sold and if any shares have changed hands. - Voting rights and other entitlements
Information on the voting power of the shares and any special rights, such as entitlement to dividends or the right to appoint board members.
Different types of shares
Various types of shares can be listed in a share register, and it’s important to document the type of share each owner holds. Some of the most common types of shares include:
- Class A and B shares
Class A shares often carry higher voting power at shareholders’ meetings, while Class B shares may have lower voting rights but are often easier to sell and transfer. - Class C and D shares
These shares may grant rights other than voting power, such as the right to appoint board members. - Common and preference shares
Common shares form the foundation of a limited company, while preference shares give the holder priority in receiving dividends and may have fixed dividend terms.
Why is the share register important?
The share register is an essential tool for keeping track of who the company’s shareholders are and how many shares they own. It helps prevent conflicts and misunderstandings regarding share ownership and is necessary for making decisions related to the company, such as during shareholders’ meetings where voting is based on shareholdings.
What we help with regarding share registers
Legal consultation
We offer guidance on how to establish and maintain your share register, whether it’s in physical or digital format.
Drafting a share register
We’ll help you draft your share register and make sure that the document is accurate, up-to-date, and contains all the necessary information about your shares and shareholders.
Review of a share register
We’ll review your register if you already have one. In this way, we ensure that it meets all requirements and that all critical information is included.
Get legal help today
Do you need help with your share register? You can always get in contact with our lawyers within just 24 hours when you need quick answers to your questions. Or you can email or call us whenever you need to hire a lawyer for legal assistance.
FAQ about share registers
Do we need to have a share register?
Yes, in Sweden, it’s required by law for all limited companies. All shares and shareholders must be registered in it.
What happens if we don’t keep the share register updated?
Failing to keep the share register updated can lead to legal issues, especially if disputes arise regarding share ownership.
Can we keep the share register digitally?
Yes, you can keep it in either physical or digital format. The most important thing is that it remains up-to-date and includes all necessary information.
