Shareholding in an OMC

[Blackrock1]

Hi all,

I am a director of an OMC for a small estate. We only recently realised that the developer still held the shares so he has completed a form B5 to transfer the shares to me and a fellow director.

I assume what should happen then is that we need to allocate the shares out to each home owner in an equal share?

And if and when they sell they need to transfer their share to the new owner?

Is this how its normally done?

 

[SimplyWorried]

I don't think so. The management company is a legal entity that holds the shares. Not any individuals.
Could be completely off on this. Interesting question

 

[Blackrock1]

I don't think so. The management company is a legal entity that holds the shares. Not any individuals.
Could be completely off on this. Interesting question

someone has to own the shares, company cant own shares in itself surely?

 

[T McGibney]

Companies limited by guarantee

Often a source of confusion, this guide to what constitutes a company limited by guarantee should help.

www.accaglobal.com

A company limited by guarantee is just a limited company, but with the obvious difference to the usual company entity of there being no share capital. The company's members are guarantors rather than shareholders.

 

[Blackrock1]

Companies limited by guarantee

Often a source of confusion, this guide to what constitutes a company limited by guarantee should help.

www.accaglobal.com

this company already has share capital tho.

 

[T McGibney]

this company already has share capital tho.

Is it possible to convert it to a CLG?

Re-Registration

LTD to Designated Activity Company Companies may wish to under take this procedure where, unwittingly, they became an LTD by operation of law on the 30th November, 2016 or perhaps circumstances have changed and they now need to specifically state a main objects clause. This could be because they...

www.formations.ie

Private Limited by Shares to Company Limited by Guarantee​

The procedure for effecting a change in status of a company, from being a Private Limited by Shares company (DAC or LTD) to a Company limited by Guarantee is governed by Part 20 of the Companies Act, 2014.
A meeting of the Board of Directors is held to discuss the conversion, and the call an Extra Ordinary General Meeting of the Members to pass the necessary resolutions. (alternatively they can pass the resolution in writing). An Extra Ordinary General Meeting of the Company is held (or a Written Resolution is executed) to make the necessary alterations to the Company’s Constitution, by adopting a new Constitution, and to authorise a Director and the Company Secretary to make application to the Registrar of Companies for re-registration as a Company Limited By Guarantee, Not having a Share Capital (CLG).
In addition to these procedures the issue of allotted share capital will need to be addressed. The approach taken will differ depending on whether the allotted share capital is paid up or not. Where it has been paid up a Court Order will be required.
The relevant documents are submitted to the Companies Registration Office, within 15 days of the various Special Resolutions being passed and once processed, the CRO will issue a Certificate of Incorporation on a Re-registration in digital format.