This workflow will help you record the repurchase of shares from an employee, consultant, or other stakeholder from your company in Shoobx. This workflow is for the repurchase of stock that occurs when the repurchase is not tied to a termination of that stakeholder's relationship with your company.
Please keep in mind that this workflow is "upload only" -- which means it will expect that you have a fully executed a Repurchase Agreement and board approval for the transaction.
For a dual process to both terminate the stakeholder and repurchase their stock, check out this article.
The 'Repurchase Shares (Upload Only)' workflow will walk you through the process of uploading the documentation regarding your company's repurchase of shares from a stakeholder. You will want to have your Repurchase Agreement available for upload when you begin this workflow. It is possible to defer this document if you do not yet have this document handy. Deferring the agreement will create a placeholder in your data room so you can upload it later.
To begin, choose the 'Repurchase Shares (Upload Only)' workflow under the equity heading and upload the document. Next, enter the information regarding the repurchase, such as effective date, stakeholder's name, stock certificate from which the shares are being repurchased and number of shares to repurchase.
At this point, you will be able to upload, defer, or create a new Stock Certificate for any remaining shares. If you decide to generate a new stock certificate in Shoobx, you will be able to continue through this workflow. You will also be prompted to upload board approval, such as a Board Consent, for the stock repurchase.
Next, you have the option of sending these documents for legal review.
Finally, the appropriate member of your company will be asked to sign the stock certificate(s) (if generated), after which the workflow will be finished. Your Cap Table will be updated to show the appropriate number of shares, reflecting the repurchase.
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