Here is a step by step guide to help you follow the process for reserving shares for an equity class.
Step 1: The very first thing that you need to do is log onto your Eqvista account and select your company profile from the main page, after you have logged into your account. Once you get to the main dashboard, you can begin the process. Initially, you would need to create the equity class. During the process of creating the equity class, you would be able to reserve the shares as well.
To begin with, click on “Securities” on the left-side panel of the dashboard. On the drop down menu, click on “equity share class” as shown below:
Step 2: You would be directed to the next page as shown below. Here, click on “Create New Equity”.
Step 3: By clicking on “Create New Equity”, you would be directed to the next page as shared below:
From here, you can select the kind of shares that you would like the class to be in the equity type. Here we have selected “common” shares.
Step 4: Once you select the share type, “common” in this case, a drop down page will appear allowing you to create the equity class and reserve shares in the class as shown below:
In the form, you would be able to mention the name of the equity class, which has been kept as Class A in this case.
Other than this, you would have the option to reserve shares in the class in the field for “Shares Reserved”. Mention the number of shares that you would like to reserve in the class, as we mentioned in the example above – 5,000,000. Fill in the date on which the security was created and the date when the board approved the creation of the security before you click on “Submit”.
Step 5: Once you have filled in the appropriate details, click on “Submit”. You would then be directed to the following page.
On this page, you would be able to see the equity class you just created along with the number of shares you have reserved in the class. Other than this, you would also be able to see any other additional details of the equity class like the number of shares that have been issued to a shareholder, the number of shares reserved for warrants, the number of shares reserved for Options, the equity type and the number of available shares that can be issued to shareholders.
Now that you have reserved the shares for the equity class, you can issue the shares directly to the shareholders. To know more on how to issue shares to shareholders, check out the support article here!