Dividends

An interim dividend is:
- a distribution to shareholders that is declared and paid before a company has determined its full-year earnings;
- usually distributed on a quarterly or semi-annual basis;
- usually approved by a board resolution.

A final dividend is:
- a distribution to shareholders that is declared after the company has issued its full-year financial statements for its fiscal year;
- usually approved by a shareholder resolution.

The process to approve and issue the dividend is broadly similar in both cases, subject to the company’s rules.

Kudocs will calculate the dividend amounts based on an equal split between the shareholders in the share classes selected to receive the dividends. However, if certain shareholders are entitled to receive a different dividend amount, you can manually amend their entitlements to reflect that.

If there are any waivers, Kudocs will calculate the dividend amounts accordingly - ie whether to divide the amount that the shareholder(s) would otherwise have received between the remaining shareholders in proportion to their holdings or retain the amount.

Use Kudocs to generate and send out a written shareholder or board resolution to approve the dividend (using Kudocs' bespoke electronic voting system). Or generate a board minute to record a decision already made. Or, if the dividend has already been approved by some other means, you can skip this section.

Use Kudocs to generate dividend vouchers in bulk (including electronic signature by a director). You can also use Kudocs to send an email to shareholders asking for payment details, to make the payment of the dividend even easier.

Check all the information you have entered and then let Kudocs take care of the rest. The system will complete all the necessary steps you have requested to implement the dividend issue.