Buying and selling shares is something many entrepreneurs will do during their lifetime. Understanding the paperwork involved can reduce stress.

An individual or company who wishes to buy or sell shares will need to navigate the world of share transfer forms. These legal records of shares tell what was bought and sold, and for what price, are essential for compliance and transparency.

Strictly speaking, the shares are being ‘transferred’ from one party to another, and are therefore not removed from the market.

Share transfer forms can be daunting and confusing when seen for the first time. The best approach is to break things down one step at a time.

A Share Transfer Form: Meaning

A share transfer form is a legally binding piece of paperwork that transfers the ownership of shares between two parties.

They are often used when a business wishes to raise capital or when an individual wants to transfer their shares to a member of their family for tax reasons.

When Do You Need a Share Transfer Form?

Whenever a change of ownership occurs, a share transfer form is required.

Share transfer forms are a legal requirement that needs to be met if the shares are to change hands between two parties. This includes cases such as:

• When shares are being ‘gifted’ where no payment is requested or made 
• During the course of divorce proceedings where assets are reallocated 
• At times when a business brings in new shareholders to raise capital

Share transfer forms are more in-depth than receipts of payment and need to include several key pieces of information.

What Should a Share Transfer Form Include?

Share transfer forms serve as a comprehensive record of how shares have changed ownership. They need to include the following:

• The name and address of both the buyer and the seller 
• The name and registration number of the company the shares relate to 
• The number and class of the shares that are being transferred 
• The agreed price of the shares and the date of the transfer
• The signature of the seller to authorise the share transfer

Read more about Electronic Signatures.

A copy will then need to be submitted to HMRC who will calculate any stamp duty due, if applicable.

Now that we have covered the fundamentals, we can take a closer look at the practicalities.

Get a Share Transfer Form Here

Accountants, brokers, lawyers, and company registrars can all supply a suitable share transfer form. There are also a range of online resources, such as Aatos, that can be used to help streamline the paperwork side of things.

Exactly what is needed when you want to be able to navigate the complex world of share transfers.

Free Form for Share Transfer

Below you can find a general form for share transfer.

SHARE TRANSFER FORM

COMPANY NAME: ________________________________
Company Registration Number: ___________________
Registered Office Address: ______________________

TRANSFEROR DETAILS (Seller):
Name: ________________________________________
Address: ______________________________________
Number of Shares Held: ________________________
Class of Shares: _____________________________

TRANSFEREE DETAILS (Buyer):
Name: ________________________________________
Address: ______________________________________
Number of Shares to be Transferred: ___________
Class of Shares: _____________________________

CONSIDERATION
Amount Paid for Transfer (£): ______________
Date of Payment: ____________________________

DECLARATION BY TRANSFEROR
I, the undersigned, hereby transfer the above-mentioned shares to the transferee in accordance with the company's Articles of Association.

Signature: ____________________________
Date: __________________________________

DECLARATION BY TRANSFEREE
I, the undersigned, agree to accept the transfer of the above-mentioned shares and to be bound by the company's Articles of Association.

Signature: ____________________________
Date: __________________________________

WITNESS DETAILS
Name: ________________________________________
Address: ______________________________________
Signature: ____________________________
Date: __________________________________

COMPANY APPROVAL
This share transfer has been approved and recorded in the company’s register of members.

Director/Secretary Signature: ____________________________
Date: __________________________________

NOTES:

This form must be completed and signed by both the transferor and transferee.

A stamp duty may be payable if the consideration exceeds the threshold set by HMRC.

The completed form should be sent to the company for registration.

How To Submit a Share Transfer Form

Submitting a share transfer form may seem like a lengthy task, but it’s one that can be broken down into a series of manageable steps:

• Ask a legal professional to check that all details are correct and signatures are present
• Submit the share transfer form to HMRC via email or post to calculate stamp duty
• Send the resulting confirmation statement to Companies House for final registration

Submitting complex legal paperwork becomes significantly simpler when you take a moment to look at common mistakes others have made previously.

Complex Transfers Require Multiple Signatories

Share transfer forms need to be completed accurately and submitted in a timely fashion so that the transfer is legally compliant. Complex transfers may need multiple signatories and detailed timelines, making the services of a legal professional of paramount importance.

Our growing library of resources can provide additional insight for anyone looking to understand their various legal and financial obligations.

Frequently Asked Questions

Where do you submit share transfer forms?

Share transfer forms are submitted to HMRC, either via post of email, where they will be verified and stamped. This will allow any stamp duty payable to be calculated.

How long do you have to submit a share transfer form?

A transfer of shares form needs to be submitted to HMRC within 30 days of it being signed and dated. Form J30 generates a confirmation statement which should then be passed to Companies House for final registration.

What is share transfer form J30?

Form J30 outlines the sale of shares between two parties. The number of shares, agreed price, and names of the buyer and seller will all be recorded. Typically only the seller of the shares needs to sign form J30 for it to be legally binding.