Pay shareholders a dividend, with the paperwork done properly.
A dividend is the return shareholders receive on their investment in the company. The company's constitution sets out how dividends are paid and what each class of shares is entitled to.
The rules
- A dividend can only be paid out of profits available for distribution.
- It must be justified by the relevant financial statements, normally the latest annual accounts. If those don't show enough profit, or the company is in its first accounting period, interim financial statements are needed.
- Directors can declare an interim dividend if profits justify it. A final dividend is recommended by the directors and approved by the members by ordinary resolution.
A dividend paid without enough distributable profits is unlawful and may have to be repaid.
What's included
- Board minutes declaring or recommending the dividend
- Members' resolution for a final dividend
- Dividend vouchers for each shareholder
We recommend checking the tax position with your accountant before paying a dividend.
Questions before you order? Email info@setupyourcompany.ie or call 01 628 3177.
Price excludes VAT at 23%.
