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Corporate Changes · Share Movements

Share Allotment

Transfer of Shares in Private Company filings covering both a fresh share allotment process for new investors and Form SH-4 for transfers between existing shareholders.

Transfer of Shares in Private Company specialists Board resolution drafting included Share certificate issuance support

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Transfer of Shares in Private Company covers two related but distinct MCA filings — issuing new shares to an investor or co-founder, and a share transfer using Form SH-4 when existing shares change hands between current or new shareholders, each with its own documentation and board approval requirements.

Founders raising a funding round need to understand that bringing in a new investor means creating new shares, while a co-founder buying out another's stake is a transfer — confusing the two leads to the wrong filing.

Issuing new shares requires a board resolution and updated capital records, whereas a straightforward transfer mainly needs the Form SH-4 instrument and board approval.

Private companies retain a right of first refusal in most cases, meaning existing shareholders typically get first opportunity to buy shares before an outside party can.

bizOversal handles both scenarios as routine board-change engagements — confirming which process applies, drafting the resolution, and updating statutory registers to reflect ownership.

Is this right for you?

Who needs Share Allotment

Companies raising a funding round needing new shares properly issued to investors
Co-founders or shareholders needing a share transfer form SH 4 for existing shares
Companies needing right of first refusal provisions respected during a share transfer
Founders unsure whether their specific transaction needs allotment or transfer documentation
How it works

Your share allotment roadmap

1

Transaction Classification

We confirm whether your transaction is a fresh issue or an existing-share transfer.

Day 1
2

Board Resolution & Documentation

The required resolution and supporting documents are drafted.

Day 2–3
3

Filing

Your Transfer of Shares in Private Company filing is submitted and share certificates issued or updated.

Day 4–7
4

Register Update

Statutory share registers are updated to reflect the new ownership position.

Day 8
What you actually receive

Deliverables checklist

We separate what the government issues from what our team drafts and delivers.

Government filings & certificates
Filed allotment or transfer acknowledgement with the MCA
Updated statutory share register
bizOversal drafted deliverables
Board resolution drafting for allotment or transfer
Share certificate issuance or endorsement
Avoid these pitfalls

Common mistakes with Share Allotment

Filing the wrong form — using a transfer form when the transaction is actually a fresh share issue, or vice versa
Skipping the board resolution required before either an allotment or a Form SH-4 transfer
Ignoring right of first refusal provisions in the articles of association before an outside transfer
Not updating the statutory share register after a completed allotment or transfer
No surprises

Transparent pricing matrix

Prices in INR, exclusive of 18% GST.
ComponentProfessional FeeGovt. / Statutory Charge
New share issuance ₹3,999 ₹0–₹600
Share transfer via Form SH-4 ₹2,999 Stamp duty applicable
Compare your options

Share allotment vs. share transfer

Aspect Share Allotment Share Transfer (Form SH-4)
What happens New shares created Existing shares change hands
Typical trigger Funding round, new investor Co-founder exit, secondary sale
Key document Board resolution + valuation, if applicable Form SH-4 instrument
Bundle your total cost

Startup Cost Estimator

Frequently asked

Share Allotment — FAQs

New shares for an investor is an allotment. Existing shares changing hands is a transfer requiring Form SH-4 — entirely different filings.
Generally yes if shares are being issued at a premium to a new investor, since the valuation supports the pricing and is often required for compliance and tax purposes.
It typically gives existing shareholders first opportunity to buy shares before an outside party can, a restriction usually written into the articles of association.
Yes, stamp duty applies to a Form SH-4 transfer, calculated on the transaction value and the applicable state rate.
Typically 4–8 days from documentation to filing, though a valuation exercise can extend that.
The transaction is filed with the MCA and reflected in the statutory share register, though private shares aren't publicly traded.

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