Executing Grants (for option signing) on Capdesk

This guide will give you a quick run-through of how to execute and sign an option grant.

Before you can start executing option grants for signing, you will need to add the option agreement template on Capdesk. You can find out more about how to do that here. [Please note you will also need to be live]

Using any of  online signing features (share certificates, option grant signing, etc) on Capdesk will, by default, use 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. 
For more assistance on how to add your own Docusign account, you can find the support article here.

Once you have added the option agreement template, navigate to the left-hand-side menu and select "Online Issuances" tab on the "Options" page. Then click on the green "Issue Grant Online" button.

Sign option grant 2

This will prompt you to select the stakeholder to whom you wish to issue the grant. Select a stakeholder from the recommendations list shown, or start typing a name in the search bar to find the person you're looking for. If the person you're issuing the grant is not already an optionholder in your company, click the "Or Add New Optionholder Instead Button" to create their optionholder profile.

signing option grant 12

For new optionholders, you'll be asked to provide some basic information about them. Then click "Next".

 

 

Once you've selected your optionholder, you'll need to fill out some details on the grant, as shown below.

Please note that you must have a document template saved on Capdesk before you can issue a grant option under that plan. If you don't, you can add one under 'Options' - "Online Document Template". If you need assistance with setting up a template, please refer to our relevant help article here.

Also, the "Expected Grant Date" field asks you for the date you expect the grant agreement to be signed by all parties. However, if signing is not completed by this date Capdesk will automatically adjust both the agreement and user interface to the date all parties (company and optionholder) have signed the agreement.

 

Option grant signing 5Option grant signing 6Option grant singing 7

When you have added all the necessary information, click "Send for Signing".

Please note if your option plan pulls shares from an incentive pool, that pool must have enough available shares to cover the options to be granted.

Now you have to wait for the grant recipient and their witness (which the grant holder will provide themselves) to sign the grant agreement before you and your own witness 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 to do this here.]

You can cancel your option grant signing by going back into the "Options'" and "Online Issuances" tabs, finding the name of your grant holder, and clicking on the action button (...) on the far right of their name section.

Grant signing 8

Here you can see the stage at which your grant is at the moment under Status, you can also filter this section to have online the grants that require action to continue the process to speed up your time getting the documents signed.

This is also where you will be able to see when it's time for you and your witness to sign the document, so when in the signing process, make sure to check this tab regularly.

It will be on the Companies side to sign the document when you see the status is: 
"Issuer signing awaiting Signatures"

Click on the action button (...) on the far right of your name section and select "Review and Sign"


You'll then be asked to select a witness, if you haven't already chosen a witness that is then offered for you to use for this signing, then you'll be asked to add a witness.


Even if you have another witness you have used before, you can choose to use a new witness.
Selecting add new witness will bring you to the page below where you can enter the personal information of the person you wish to be your witness. When you are done, click "Finish".

 

Your witness will receive an email inviting them to log in to Capdesk and sign the option agreement.

You will now be shown a reminder that you and your witness needs to be in the same physical location when signing (to render the signing ceremony valid under UK law). Please note that the platform will not let you or your witness sign the document before you are both logged in and found in the same location.

When both parties are ready to sign, you will be shown 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".

 

If you clicked continue, you must read the first page of the agreement to ensure all details are correct. Then click 'Start' on the left-hand-side.

 

https://cdn2.hubspot.net/hubfs/2303724/Executing%20grants%20(for%20option%20signing)%20on%20Capdesk%2015.png

 

 

This will take you to the last page of the document, where you'll be required to add an electronic signature indicated by the yellow and red icon shown below:

 

 

To sign, click on the icon. This will automatically offer you two options of a virtual signature to choose from. Click on the one you prefer and select "Adopt and Sign" to add it to the document.

 

 

To finalise the signing, select the "Finish" button at the top of your screen.

 

 

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 "Complete.

Finally, if you wish to download the signed option agreement in the future, navigate to "Options" in the left-hand side menu, and locate the name of the grant holder under "Online Issuances". Click on the "View" button next to their name, on the right-hand side a tab called "Option Grant" will open, scroll down to the bottom and you'll find it under "Grant Documents".

signing options 13

 

If you need further assistance, you can reach out by submitting a support article here.

Thank you for reading this support article, if you are interested to read other articles that relate to managing your account, please see this page of articles: support.capdesk.com/stakeholders