Shareholder communications

Ecommunications (Ecomms)

Due to the change in the default position for shareholder communication by the Companies Act 2006, communications can now be delivered electronically rather than by hard copy (paper).   

In order to take advantage of Ecomms, you only need to obtain the permission of your shareholders, either directly or by changing the company’s articles. Shareholders must have the option to provide their email address or request that all further communications are sent via hard copy. Those that do not respond are “deemed” to have consented to Ecomms.  

Ecomms:

• offer substantial savings on print and postage costs
• provide security by reducing postal interception and lost documentation 
• are environmentally friendly because of reduced paper volumes
• allow for more targeted and tailored communications
• give shareholders choice to suit their requirements
• are now deemed best practice.