KNAP Advisory

Transfer of Shares

Bringing in a new shareholder or buying someone out? A share transfer has to be documented and recorded properly. KNAP Advisory handles the deed, stamp duty and register update for a clean change of ownership.

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Overview

Transferring ownership in shares

Shares represent ownership in a company, and transferring them is how ownership changes hands — whether to admit an investor, settle a buy-out, bring in a family member, or restructure the cap table. In a private company, transfers are usually subject to restrictions written into the Articles.

A valid transfer needs a properly executed share transfer deed in Form SH-4, payment of stamp duty, board approval, and an update to the register of members. Missing any step can leave the transfer legally incomplete. KNAP Advisory takes care of each one so the new shareholding holds up.

Benefits

Why document it right

Clear Ownership

No ambiguity about who holds the shares.

Legally Valid

Properly stamped and recorded transfer.

Investor Entry

Bring in new shareholders the right way.

Clean Cap Table

Accurate records for future fundraising.

Avoid Disputes

Documented consideration and approvals.

Due Diligence

Records that stand up to scrutiny.

Requirements

What you’ll need

Documents

  • Share transfer deed in Form SH-4
  • Original share certificates
  • Board resolution approving the transfer
  • KYC of transferor and transferee

Conditions

  • Stamp duty paid on the transfer deed
  • Articles’ transfer restrictions complied with
  • Board approval obtained
  • Register of members updated
Process

How KNAP handles it

1

Review Articles

We check transfer restrictions and approvals needed.

2

Prepare SH-4

We draft the transfer deed and handle stamp duty.

3

Board Approval

We prepare the resolution registering the transfer.

4

Update Records

We update the register and issue endorsed certificates.

Why KNAP Advisory

Ownership, transferred cleanly

Compliance First

Articles, stamp duty and approvals all covered.

Accurate Records

Register of members kept correct and current.

End-to-End

From deed to endorsed share certificates.

FAQs

Frequently asked questions

How are shares transferred? +

By executing a share transfer deed in Form SH-4, paying stamp duty, and getting the board to approve and register the transfer.

What is Form SH-4? +

It is the instrument of transfer that records the transfer of shares between the transferor and the transferee.

Is stamp duty payable? +

Yes, stamp duty is payable on the share transfer deed, generally based on the consideration or value of the shares.

Are there restrictions in a private company? +

Yes. Private companies usually restrict transfers through their Articles, often with a right of first refusal for existing members.

When is the transfer complete? +

Once the board approves it and the register of members is updated to record the new shareholder.

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Transfer your shares correctly

Talk to KNAP Advisory and get started today.