To allot shares make sure that you have opened a new transaction entry.
The above screen shows a share capital class for a par value share and we can see that the authorised shares are 10,000 and there are available for issue 9,800. Because the shares of par value is R1 and the total share capital is R400. Allot another two share certificates.
We have already created transaction number 3. Make sure that you have clicked on the 3, then go to the share transaction tab and click on the new button. This will then create a yellow area and it will put a little plus icon to the left of the converted button as shown on the screen below. Now if you mouse over on this plus button you will see that it actually says new allotment. Left click and it creates a blank space for you to allocate the share to the new shareholder. You will see that it adds the certificate number 4 as indicated on the screen below.
You will notice that next to the certificate number 4 is a blank line, click on the blank line and the screen will change as follows.
Now all you have to do is scroll down to the shareholder that you require and click. The shareholder name will be inserted. Enter the quantity allotted as well as the consideration for the allotment which must include the share premium if the shares are par value. At this stage the screen will look like this:
You will notice that in the above screen we have the certificates, 1, 3 and 4 as well as the share capital which still reflects the information which was the pre-existing situation to the allotment. In order to get this right you need to click on the capital button just to the left of the total capital. The screen will then look like this:
You will notice that you have got the share capital situation in the top part of the box and the changes at the bottom for this transaction. If you click on the 2 up arrows this is going to move the contents of the current transaction to the main share capital account on the top. The reason why we do this is to make sure that you are getting the share balances right and balancing correctly.
After you have moved the transaction details up the screen will look as below: The total share capital has increased to R600.
and when you close the share capital adjustment box the screen will now look like this.
The record now shows the correct position.
The screen above displays a share allotment, you can see that the shares are allotted by the green sign to the left of the date. There is also a list of all the shares displayed on the screen. You will note that these shares are par value as indicated in the description and the par amount has been ticked. The authorised share capital shows that there is 10,000 shares that have been issued at a total value of R600. Detailed below is the share ledger produced by the system.
