A step-by-step guide on how to successfully complete the signing process for Phantom Shares
- Before we get started, make sure you have familiarised yourself with 'How to issue phantom (virtual) shares (manually on Capdesk)' support article.
Before you can use the phantom share signing feature, please note you must be live.
1) Fees for signing
- Our DocuSign account and this will cost you £2.50 per document to cover the cost of signing.
- However, we allow you to log in to your own DocuSign account so there is no additional cost for you
2) Add Template
- Navigate to the "Online Document Templates" tab found on phantom shares page (under Equity Awards) and then click on the green "Add Template" button.
You will be asked to select the type of agreement;
1) Individual Stakeholder
2) Corporate Stakeholder
3) Phantom Share Plan
- Input the phantom share plan you will like to add onto the agreement (it will appear on the drop down).
- If it does not appear in the drop down, please create the plan first.
Additionally, you will need to input a name of the phantom share template (to make it easier to identify in the future).
4) Add Document
- 'Add Dynamic Document' button.
- This refers to your actual agreement template
It is referred to as dynamic because every time you issue a new grant on Capdesk, the platform will automatically fill out the template with the data that is relevant in each occasion (eg. the name of each new grantholder, date, etc.).
- For your convenience, Capdesk provides a sample template available for download.
NB. This is a very basic sample template, intended to give you an understanding of what a template might look like with the Capdesk placeholders. It is not intended for use. If you do not already have a warrant agreement of your own, we recommend you consult your legal adviser.
- Once you have uploaded your phantom share agreement that includes the Capdesk placeholders, you should be able to see it in a narrow green box on the right side of your screen, as shown below. When you are ready, click the green 'Upload' button on the right.
- When you've completed the process, click the green 'Save' button at the bottom right off your screen.
5) Executing grants (for phantom share signing) on Capdesk:
- Before proceeding, make sure that the relevant phantom share valuations have been added to Capdesk. To add the valuation, go to Shares page -> Valuations, highlighted below.
- Fill in the details of the valuation, making sure that 'Phantom Share Value' has been chosen as the type.
Now that the valuations and agreements are in place, the grant can be executed.
- Click the phantom shares tab (under Equity Awards) -> Online Issuances -> Issue Grant Online (Green Button).
- You will then be taken to the 'Phantom Share Grant' page. Add the relevant phantom share plan as well as the document template that you previously added to Capdesk.
- Proceed to fill out the rest of the required fields for the grant. If you need further support on this, use this link to find out more.
- Once complete, you have the option to either 'Save Draft' or 'Send for signing'.
Clicking 'Save Draft' will direct you to the 'Online Issuances' page where you can view the grant and agreement document before it is sent for signing.
Once sent for signing, you have to wait for the grant recipient and their witness (which the grant holder will provide themselves if applicable) to sign the grant agreement before you and your own witness (if applicable) can do so too.
[N.B. please ensure you have selected the default signatory (the person who will sign documents on behalf of the company). You can learn more about how add and configure signatories via the link]
6) Cancelling execution
- You can cancel your phantom share grant signing by going back into the "Phantom Shares'" and "Online Issuances" tabs, finding the name of your grantholder, and clicking on the action button (...) on the far right of their name section.
7) Docusign & Signing the Certificate
- DocuSign will be show the grant agreement but will not be allowed to see it in full before you select the "Continue Button". If you wish to take a different action (eg. sign later, decline a.o.) you can do so by choosing the relevant option in "More Options".
- Now that all parties have signed, the grant issuance is official. If you navigate back to your "Online Issuances" tab, you should be able to see that the "Status" section of your grant has changed to "Completed".
- Finally, if you wish to download the signed phantom share agreement in the future, click on the "View" button next to their name. On the right-hand side a tab called "Phantom Share Grant" will open, scroll down to the bottom and you'll find it under "Grant Documents".