Capturing Dividends Workflow
This article explains how to capture dividends by uploading them into Fidelity Private Shares.
Getting Started
- On the Company Workspace, click Start New Workflow.
- Click Capture Dividends (Upload Only) located in the Equity section.
- Read through the workflow description, and click Continue.
Provide Dividend Information
This page is where you select the stock classes that received a dividend as well as select whether the dividends were paid out in cash, stock, or both cash and stock. Based on how you paid out the dividends you will see different fields show up on the page. Fill these out and then click Continue.
Select Specific Certificates
Select the specific stock certificates that received a dividend. If any are missing, you will want to make sure you capture them in Fidelity Private Shares by running an equity or financing workflow to upload details about these certificates. Once you have all of the stock certificates you want selected, click Continue.
Confirm Dividend Data
You will want to download the spreadsheet that is provided and confirm that the information in this spreadsheet is correct. If any modifications are needed, upload the modified spreadsheet in the Dividends Worksheet field. Click Continue.
Upload Board Approval
This is where you will upload a written board consent or the board meeting minutes.
- Click Document Options to either upload the approval from your computer or select the file from the Data Room.
- Enter the Effective Date.
- Select the Type of Board Approval.
- Click Continue.
Upload Stockholder Approval
This is where you will upload any stockholder approvals.
- Click Add Document.
- Click Choose a file to upload the document from your computer.
- Enter the Document Title, add a description if necessary, and select the Effective Date of the approval.
- Click Save.
- Click Continue.
- NOTE: If you selected cash only dividends, this is your second to last step! In the next "Checkpoint" step, you will be asked if you want to send this for your counsel to review, then you will be finished.
Select Stock Certificate Method
If you selected a stock dividend option, you will now be able to create stock certificates for these dividends. There will be two options on this screen. If you want Fidelity Private Shares to generate every stock certificate, select the first option. If you want upload, defer, or a combination of the two, select the second option. If you want to have a combination of uploading or deferring some stock certificates while having Fidelity Private Shares generate the others, select the second option.
If You Choose for Fidelity Private Shares to Generate All New Certificates
Once Fidelity Private Shares has generated the certificates for each Shareholder, click Continue.
If You Choose to Upload or Defer Stock Certificates
You will see a screen that will show all of the shareholders who received a dividend.
- Click on Info Needed.
- Choose the method. If you choose Upload or Defer, when you click Continue you will click Document Options then provide the appropriate information. If you choose Generate, you will need to enter the Certificate Number, Issuance Basis, the Issuance Date, and Restrictive Legends if applicable.
- Once all information has been entered for each shareholder, click Continue.
Checkpoint
Review the documents before they are sent out for review (if you choose to have legal review) and signatures. Once you click Continue you will not be able to make any modifications.
Sign Certificates
Please review and then sign all of the stock certificates. Both the Secretary and President will need to sign the Stock Certificate. After the signatures are complete, all of these will appear in the data room and the workflow has been completed!
Screenshots are for illustrative purposes only.
Fidelity provides cap table management and other administrative services to private companies and their equity compensation plans.
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