Transfer agents are hired by companies as "caretakers" for their shareholders. They keep shareholder records and issue new certificates. They distribute proxies, dividends and annual reports, and they forward company correspondence to shareholders. If you are confused about whom to select as your company's transfer agent, you are not alone. Here are responses to some of the most common questions we've received:

Q: I plan on taking my company public, do we need a transfer agent?
A: Yes, either you hire a commercial agent or perform the function yourself. Making the right decision is important and should be carefully thought out.
 
Q: We are considering changing transfer agents. Can you help us?
A: If you want to change transfer agents, it's prudent to understand your available options. We can identify the transfer agents, discuss the services they offer and the fees they charge. 
 
Q: Do bank transfer agents offer different services than non-bank agents?
A: Larger bank transfer agents have depth, experience, and wide resources, but typically charge more money. Many smaller agents provide more personalized service but may not be technologically current, yet charge much less that the larger agents. It is important to consider the transfer agent's reputation, technology and commitment to staying in business.
 
Q: I am considering maintaining the transfer agent function in-house. What's involved?
A: While some large companies perform the transfer agent function themselves, it is not the norm. Transfer agents provide highly specialized services governed by stringent SEC regulations. Few companies — especially smaller or start-up companies — are positioned to undertake such critical services on their own. 
    
Q: How can I find the right transfer agent in this shrinking industry?
A: Our knowledge of the industry can give you more options. Twenty years ago there were hundreds of commercial transfer agents servicing public companies and municipalities. Now a handful of transfer agents dominate the business. For the average company, the effects of consolidation are less than desirable — fewer choices, higher fees and less personalized service.

There are approximately 320 million shareholders serviced by commercial transfer agents: banks, non-bank agents, mutual funds, and companies that do the work themselves (in-house agents). We can help you select the right transfer agent. Simply complete this form or call us at 802.862.8360.