Eqvista is a simple-to-use platform where you can easily add a shareholder to the cap table without any trouble and technical knowledge. This is a step by step guide to help you with adding a shareholder to the cap table.

Step 1: Once you have created your company profile on Eqvista, you can easily add a shareholder to your company and issue shares to the shareholder. There are two ways to add a shareholder in Eqvista. They are:

Method 1

When you have completed created a new company profile in Eqvista, you would be prompted to add a Shareholder or skip to add shareholder later. If you choose to add the shareholder at that moment, you would reach the following page:

Add Shareholder

You would have to fill in all the credentials of the shareholder in the form including the first name, last name, email, status in the company (founder, investor, employee ,etc.), the phone number and skype ID. 

You also have the choice to select if you want to “send invitation” to the shareholder to join and view their holdings, or if you wish to “share cap table later” with the shareholder. Choose the option that best suits you and click on “Submit” to create a new shareholder profile.

Method 2

The second method for adding a shareholder is done after you have created a company and skipped the option to add a shareholder in the initial step as mentioned above. For this, you would have to select the “Shareholder” option that you can see on the left-hand side column on the dashboard of the company as shown below:

Shareholders

When you have clicked on the “Shareholder” tab, you would be directed to a page that shows all the details of the shareholders in a company and how much they own in the company. On this page, you would find an option to “Add Shareholder” as shown below:

Add Shareholder

After clicking on “Add Shareholder”, a pop-up window would appear where you can easily add in the name and type of shareholder.

Add New Shareholder

Step 2: Once you have added all the details and submit it for adding a new shareholder to your cap table, you would reach the following page where you can click on the name of the shareholder to see the full details.

Shareholder Details

Step 3: You would reach the following page for the new shareholder.

New Shareholder Information

In order to add the shareholder to the cap table, you would need to issue shares to to them.


Share issuance

Step 4: To issue shares, you would have to first click on the option “Cap table” from the column on the left side of the dashboard. A small menu would open under it from which you would have to click on “Detail”. Once you get here, you would find a button called “Issue” on the right hand side of the page. Click on “Issue” and then on “from Shares” to begin the process of issuing shares to the shareholder.

Issue Shares

Step 5: Once you do this, you would reach the following page where you would need to choose the Equity type. Since the shareholder is not a founder of the company, you need to select the option to “Create new security”.

Create New Security

Step 6: After you have selected the option to “Create new security”, you would be directed to the next page as shown below:

New Security

The very first thing that you need to do is select the “Equity Type”. We have selected the “Common stock” here to make the process simple. You can choose the appropriate option based on your company, situation, and choice. 

You would then have to fill out some details in the page that includes the class name, security creation and approval date. Other than this, you would also have to select the number of shares you would like to reserve in this class. Remember that you need to reserve only those number of shares from the amount left in the company after all the founders have taken their share ownership.

After you have done this, click on “Submit”.


Step 7: By clicking on “Submit”, you would reach the next page as shown below. 

Issue Shares

Step 8: By clicking on “issue shares”, you would be directed to the following page where you would first have to select the Equity Name. Since we had created an equity called “Class A”, it has been selected. 

Issue Shares

Step 9: After that, you would see an option saying “Add Shareholder”. Click on that to reach the following page. You would be able to choose the shareholder that you want to issue the shares too and fill out other details like date of issuance, number of shares issued, price per share, share name, and if there is a vesting schedule or not. Once you have filled in the details, click on “Submit”.

Add Shareholder

Step 10: Clicking on submit, you would reach the following page, where you would then need to click on the shareholder name to see their details.

Shareholder Details

Step 11: Once you have clicked on the shareholder’s name, which is “Danny Lancaster” in this case, you would reach a page that would show all the details of the shareholder (as shown below). Now, assuming that you did not send an invitation to the shareholder to view their holdings in the company, you would find the option where you can “share cap table” with the shareholder after you reach the following page:

Share Cap Table

Step 12: Once you click on the option “Share Captable”, you would get a pop-up dialogue box as shown below. If you click on “Cancel”, you would deny the option to share the cap table with the shareholder. And in case you select the “Share cap table” option, the cap table would be shared with the shareholder. 

Share Cap Table

To learn how a shareholder can view their cap table from the link received in the email when a founder invites the shareholder to view the cap table, check out the support page here.

Once you have shared the table, you would be directed back to the following page:

Cap Table

And that’s how you can add a shareholder to the company, issue them shares, and invite them to the company’s cap table.

If you have any doubts or want to know more, check out the other support articles here or contact us!

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