Stock Certificate Templates
Free Share Certificate Templates For Stock PurchasesStock certificates (aka share certificates) are legal documents that attest to the purchase of stock in a company. Each share certificate proves ownership in an allotment of stock—much like a receipt.
Typically, a shareholder receives a paper stock certificate from the brokerage firm that handled the transfer. Shareholders may also receive certificates from the company’s transfer agent right after the share transfer.
Using Stock Certificate TemplatesIf you run, work for, or represent a business interested in pursuing investment opportunities, you’re responsible for offering stock certificates to your investors. A high-quality stock certificate template makes this easy to do. Using a high-quality certificate template, you can easily formalize all the information on the share transfer agreement in certificate form. This information includes:
- The name of the stockholder
- The stockholder’s address
- The company whose shares are being bought
- The cash value of the shares bought by the share holder
- The number of shares purchased
- The class and type of shares purchased
- Terms and conditions for further share transfers
- The company seal
Value of Share Certificates for InvestorsSince investors usually don’t take physical control of the stocks they purchase, share certificates are the primary way to establish ownership. Shares in a company’s stock represent assets that back up the investment, similar to collateral on a loan, formalized in a contract between the investor and the company. As the first document referred to if an investor and stock issuer enter into dispute, the share certificate is an important document. It provides the foundation for the relationship between the company and investor. Should a disagreement go to court, this document will help determine who wins the settlement. Similarly, stock certificates give companies a fair, uniform means of determining stock ownership. As a company could have large numbers of shares on the market, share certificate templates help organize the transaction history.
Free Stock Certificate Templates