Introduction

This guide will walk you through how to add transactions on Ledgy and the different transaction types you can create for your cap table such financing rounds, share issuances, grants, valuations and more.

Adding transactions on Ledgy

Transactions on Ledgy are any event that has happened and affected your cap table or involves your equity plans. You can add individual transactions by going to Ownership > Transactions, and on the page that opens, click on the "Add transaction" button in the top-right.

There will be a few types of transactions that you can select from the Transactions modal that appears.

Tip: Any transaction you add can be easily edited later!

Do you want to import transactions in bulk? Check out How to bulk import transactions via Ledgy's Excel template

Types of Ledgy transactions

The different types of transactions you create will appear grouped by date in chronological order with different easily identifiable colourful labels.

Financing round

Adding a financing round allows you to add multiple investments within a financing round quickly. You also have the option of setting up an employee pool.

For each round, you get to define the Event Name, Share Class, and Share Price. Within each round, every investment transaction will contain information on the Stakeholder name, Investment amount, and the Number of shares.

Issue shares

Add a single share issuance for one stakeholder/entity.

Exercises will also appear as Share Issuances.

Decrease shares

Cancel shares that are currently owned by a stakeholder/entity. The total number of shares in the company will be decreased.

Share transfer

Add a transfer of shares between two stakeholders or legal entities. For each transfer, an optional field captures the transfer price recorded.

Convertible loan

Add a convertible loan with all parameters: cap, discount, interest, expiry, etc.

For each convertible loan, a "Convert to Shares" button allows you to create a linked Share Issuance transaction to record and track the conversion.

Issue grant

Add an equity grant and manage various parameters such as time-based or custom vesting, strike (or exercise) price, and purchase price (for warrants), among many others.

Our growing list of supported grant types includes:

Options
Phantoms
Warrants
SAR (Stock appreciation right)
BSPCE (Business creator share subscription warrants)
RSU (Restricted stock unit)
RSA (Restricted stock award)
UK Growth shares
EMI (Enterprise management incentive)
and many more

Cash Settlement of grants

You can add and link a cash settlements to any grants (except stock grants). You can also choose to Cash Settle all or part of a grant in Ownership > Transactions or Equity Plans > Grants.

To add a cash settlement to a grant, use the Three Dot button beside the grant to select Cash Settle. You will also have the option to select Return to the pool, which returns the amount settled to the original pool. If the source of the pool is set to Reserved Shares from a stakeholder, the amount settled will return to the stakeholder.

Valuation

Add a share price that will determine the valuation at that point in time. Ledgy supports various types of valuation events:

Company valuation
409A (US)
EMI (UK)
CSOP (UK)
Fair value

Class conversion

Convert a stakeholder's shares to a different share class.

Stock split

A stock split will split existing shares up to the stock split date based on the split factor set.

Adding a stock split allows you to easily manage transactions dated before the split, as Ledgy automatically adjusts the number of shares.

Dividends

Distribute dividends to all stakeholders of a certain share class.

Payout

Add a cash payout to any individual stakeholder. This will add a Payout transaction allowing you to track the stakeholder, date, and amount paid.