The Shareholder’s Register, as its name suggests, is a document containing the details of the owners of an organisation. This list is kept by the administrator of the company and is considered private, i.e. it is not necessary to record it in a public register.
Initially, only the names of the shareholders are listed. However, over time, the transfer of company shares will also be recorded in this document. Below, we at GyV will tell you everything you need to know about this document.
What is the Shareholder’s Register?
The Shareholder’s Register is a book in which the changes in ownership, shares, and contributions made to the company’s assets are recorded. That is to say, who the owner of each share is, and their address.
It should be noted that, depending on the type of company, this book may have different names:
- Shareholder’s Register – Limited liability companies, limited partnerships, worker-owned limited companies, and mutual guarantee companies.
- Company register or contract register – Sole proprietorships.
- Share register – Public limited companies, labour limited companies, and partnerships limited by shares.
Despite having different names, the registration guidelines are the same.
What is the Shareholder’s Register used for?
This register gives the partners of the company legitimate power to participate in meetings or make decisions. This will depend on the number of shares held by the member and the internal procedures of each company.
What information has to be included within the Shareholder’s Register?
It is important to remember what information should be included within the Shareholder’s Register before becoming a company shareholder. The following information must be included:
- Personal information about the shareholders (name, surname, place of residence, NIF/DNI).
- Number of shares held by each shareholder with the title of purchase and date on which they were acquired.
- It is mandatory to list the number the shares.
- Public deed of ownership.
- Information about the sale of shares and the details of the following shareholder.
How long does the Shareholder’s Register have to be kept?
As with all other company documents, the law states that the Shareholder’s Register must be kept for at least 6 years.
What happens to the Register if the company is sold?
If the company is sold as a whole, the register must be passed on to the new owners and this change in ownership must be indicated. If only shares are sold, then only the new partners and the date that the shares were acquired should be registered.
Regardless of whether you have a large company or a small business, at GyV we make your job easier by helping you comply with all your legal obligations. Contact us, tell us about your situation, and we will take care of the rest. We’ll be waiting for you!