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Carta Onboarding for DE Corp Converted from another state

  • 1.  Carta Onboarding for DE Corp Converted from another state

    Posted 28 days ago

    Hi All - I have a client that was a State A corp (incorporated in 2015), then converted to an State B corp, and is now (as of 08/2024) converted to a DE corp.

    I am in the process of reviewing their self-entered onboarding info, and they have entered it as if they were incorporated in 2015, entered the 2 founder issuances from that time, and then entered new certificates for their post-conversion-to-DE shares (per the Plan of Conversion exchange info).  

    My approach typically would be to onboard as if they are a 08/2024-incorporated DE Corp and go from there, meaning that the first 2 issuances on the cap table are the post-conversion shares dated 08/2024.  I'd enter details in the notes field to track the history, but they'd be issued as of the DE conversion and incorporation date.

    I was hoping to get a feel of everyone else's approach.  Thoughts?

    Thanks in advance!

    - TJ



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    Teresa-Judith (TJ) Chartrand
    Legal Specialist
    VLP Law Group LLP
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