Business readiness

What is Shareholder Correspondence?

Shareholder correspondence is the record of all information exchanges between your company and your shareholders.


Shareholder correspondence is company documentation that includes any communication in the form of letters, notices, emails, reports and filings between your company and your shareholders.

What’s included:

Company performance reports (quarterly, half yearly, annual) and future targets and strategies

Notices or letters for upcoming shareholder meetings, director appointment votes, shareholder queries, distribution of dividends

Minutes of previous shareholders meetings

Why is Shareholder Correspondence important for business today?

Keeping a comprehensive and up to date collection of shareholder correspondence enables your company to:

Keep track of what information has been circulated to shareholders

Assist the board of directors in managing their legal duties

Ensure the format of future correspondence is consistent with previous communications where possible

Ensure the content of future correspondence has appropriate regard to whatever information has been previously provided on that topic

Why is it important for an event tomorrow?

Keeping a comprehensive and up to date collection of shareholder correspondence is important for an event tomorrow, as it helps potential investors to:

Assess the frequency and nature of shareholder queries

Evaluate your company’s capabilities to manage correspondence with shareholders

Determine any potential areas of disputes, or predict any future lawsuits

Understand what information and what key messages have been provided to shareholders in relation to key projects and key issues

Provides a useful source of summary information to help reduce the time taken to conduct due diligence

Pros of addressing Shareholder Correspondence

Mitigation of legal risks by keeping a record of written evidence of any communication shareholder communication

Positive brand image among your current and prospective shareholders

Supports improved communication to shareholders by ensuring consistency

Assists potential investors in their due diligence work

Cons of not addressing Shareholder Correspondence

More difficult for directors to manage their duties to shareholders

Lower quality communications with shareholders due to inconsistencies

Longer and more costly due diligence processes.

Learn more about company documentation

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