Every company is required to maintain a share register. The share register is a list of all share transactions that have happened during the life of the company.
Shareholding is not recorded by CIPC, so it is the directors’ responsibility to ensure that the share register remains available and up-to-date. All share transactions pertaining to the company since its incorporation must be clearly and accurately recorded and include all the details pertaining to the shareholders and their respective allotments/transfers and cancellations.
The company’s share register may be requested when:
- Opening a business bank account
- Applying for a loan facility
- As part of the due diligence process
- B-BBEE audit
The share register forms part of the company records that must remain accessible at the company’s registered address. These records can be inspected at the request of shareholders, persons with a beneficial interest in the company, and any other person, granted they pay a nominal fee. Should the company receive a request to view the records they must be furnished within 14 days of receiving that request.
Other documents that should be maintained as part of the company records include the following:
- Memorandum of Incorporation (“MOI”)
- Any amendments or alterations to the MOI
- Any rules that apply to the governance of the company
- Minutes and resolutions of the board and shareholders
- Register of directors/members
- Register of the public officer
- Consent/resignation letters
- To the extent that the company is required to make such appointments:
- Register of the company secretary
- Register of the auditor
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