Share Transfer

A Share Transfer is the Issue, Transfer, or Purchase of Company shares from one party to another.

There may be times when you want to change the share structure of your Company; either by adding new Shareholders or by changing the existing proportion of shares between Shareholders. A Share Transfer is the process of transferring existing shares from one person to another; either by sale or gift.

When creating a new Shareholder, they need to be issued shares first. Only then a Folio Number is visible and further transfer can be done using that Shareholder.

1. Pre-requisite

No Pre-requisite required

2. How to Create A Share Transfer

To access the Share Transfer list, go to:

Finance > Basics > Share Managment > Share Transfer

To access the Share Transfer list, go to:

After submitting, a Journal Entry can be created to update the ledger using the Create Journal Entry button.

Note: Before you can Purchase or Transfer shares between shareholders, shares need to be issued.

2.1 Terminology

Transfer Types:

  • Issue: Shares are being issued to an existing Shareholder by the Company.
  • Purchase: The Company is purchasing back shares from an existing Shareholder.
  • Transfer: Shares are being transferred from one Shareholder to another.
  • Folio Number: This is a number used to uniquely identify a Shareholder and their transaction.
  • Share Type: The two default options in StrideERP are Preference and Equity. This only indicates the type of share, more can be added as per your Company structure.