When registering a company Inform Direct will usually be able to match all the shares in issue with all known shareholders. If it cannot the account will be marked unreconciled.
Unreconciled share class alerts will generally appear if share allotments or share reorganisations have been completed/filed not using Inform Direct.
1. The details shown in Inform Direct will be exactly as returned by Companies House as at the date of import into the system. If Inform Direct cannot match all the shares in issue with all the known shareholders an unreconciled alert will show on the company Dashboard as per the below. This is nothing to worry about and is usually very simple to remedy.
How to clear an Unreconciled Share Classes alert?
2. The Share Classes tab will reflect the information from the most recent statement of capital. This could be a confirmation statement, share filing or the original incorporation document.
In particular the Share Classes tab will show:
- The name of each share class being returned - here Class A Ordinary £1.00
- The Total in issue of a particular share class - here 885,000
- The No. of shareholders for whom details i.e. their names have been returned - here 1
- The No. allotted to shareholders - here 100
So, in this example, Inform Direct knows who owns 100 of the 885,000 shares in issue but not the owner(s) of the other 884,900 shares. Once the ownership details are added the Unreconciled message will disappear.
How to clear an Unreconciled Share Classes alert?
3. The Shareholders tab will display the name of each shareholder and which class(es) of shares they hold. However the details will only be as current as the latest list of shareholders provided to Companies House - generally as per the last confirmation statement filed. The shareholders tab will not reflect any changes following a transfer or allotment if they have happened after the last confirmation statement.
Note: a share transfer is not communicated to Companies House until a confirmation statement is filed. A share allotment is communicated to Companies House but does not include the name(s) of the new shareholder(s). So Inform Direct will know that there are more shares in issue but not who they belong to.
4. Inform Direct performs a quick calculation. It will add up all the shares in issue for which the owner is known (i.e. all those on the Shareholders tab) and compare this figure to the Total in issue on the Share Classes tab. If the two numbers do not match Inform Direct will show the unreconciled message.
To reconcile your share classes please see:
How to clear an Unreconciled Share Classes alert?
Note: While an account is marked 'unreconciled' Inform Direct will not let you submit a confirmation statement.