Another feature of the Eqvista app is Electronic Shareholder Acceptance. When you issue equity grants, options and warrants to shareholders, there will be an electronic acceptance for shareholders to sign (electronically) for the issuance to take place.
Note: You will need to add the shareholder profile before you can begin the issuance process as shared below. To learn how to add a shareholder, check out our support article here!
Also, you need to share the access with shareholders then they can see only the shareholder part nothing else. The shareholder sees just his/her equity transactions. They will not have access to the captable. To know how to to share access to shareholder check our support article here.
Once you are done with sharing access of the cap table to the shareholder, you can follow the steps shared below for issuing shares to a shareholder:
Step 1: Log into your account and from the dashboard, click on “Securities”, then “Equities” (or whichever kind of security you are about to issue), and from this page, select the equity class, issue shares, and add new grants.
Finally, you will reach the page to begin the process of issuing the shares to your shareholders. Search for the shareholder you want to issue to, type in the name, and you will get the option on the right-side panel.
Beside the name that appears, you will see a button that says “Select”, Click on that.
Step 2: You will be redirected to the next step and process. Add the share details and select “YES” on “Required Shareholder Acceptance” as below:
You will also get the option to attach a document or just the signature of the shareholder for their acceptance. In this case, we selected the option to just get the signature. Once done, click on, “Submit”.
Step 3: By doing this, the shareholder will receive an email regarding the new grant issue and will be required to approve this. The email would be as shown below:
Being the shareholder receiving the request, you will have to click on the button “Go to Eqvista”. With this, you will have to create an account and would be redirected to the grant page.
Step 4: Until the shareholder accepts the grant, the status would show as pending, as below:
Step 5: To accept, you will have to select the grant and be redirected to a new window. Here, you will have to add your signature to accept the grant as shown below.
Step 6: After adding your signature, select “Approve this grant”. By doing this, the grant will be approved and you can view the grant details as shown below.
And just like this, you can easily issue shares online securely by adding shareholder approvals for your grants on Eqvista.