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How do I pay out stakeholders?
How do I pay out stakeholders?

This article explains how to pay off stakeholders.

Support Team avatar
Written by Support Team
Updated over a week ago

Intro

If you pay out a stakeholder, you can reflect this case by a payout transaction in your cap table. This article will show you how to add a payout transaction and what settings can be made.


How to create a payout?

  1. Go to Ownership > Transactions > Add transaction > Payout.

  2. The mandatory fields are:

    • Stakeholder: The person who receives the cash payout.

    • Date: When the stakeholder receives the payout.

    • Total payment: The amount that the stakeholder will receive.

    • Currency: The payout currency.

  3. The following fields are optional:

    • Documents: You can upload a document and link it to the convertible loan.

    • Stakeholder beneficiary: A beneficiary is an economic beneficiary behind a legal entity. If beneficiaries are set, you can view the cap table regarding legal or economic distribution. This can also be used in Ledgy to manage pooled investments.

    • Internal note: If you want to add a message related to the transaction.

  4. Clicking on the Save button will create a payout transaction in your cap table.

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