If you have a startup, there is no time where it’s too early to start tracking your cap table. The cap table is basically a layout of every investment and security your company and its investors has. It’s tracks these and shows who owns what. Cap table tracking software can also aid in the transfer of a stock from one person to another. Here are three reason to start using cap table tracking immediately.
1. Transfers – With cap table tracking software, it’s easier than ever to transfer stocks. This is a great feature because it makes it easier for you to changes people’s holdings within the company when someone is promoted. It’s also a way to attract new employees becasue you can offer them stock in the company as a benefit of working there.
2. Taxes – With every investment comes taxes. These taxes aren’t anything anyone lookds forward too, but you have to pay them. This software will make it much easier for your accountant to decide what you owe and where you need to pay it. If you want to be in compliance, this software is a must.
3. Eliminates Confusion – With a good cap table, each person at your company will undersand exactly where they stand and how much stake they have in the company. This eliminates any arguments or disagreements when these investments mature.
Contact Colonial Stock Transfer today if you want to get started on a new cap table for your company. You can learn more about their comprehensive services by visiting their website at https://www.colonialstock.com/.
