Selling of Shares
The seller may directly sell the shares, to a buyer, but here also, it is generally preferred to image services of broker.
An Order , i.e. "
order" will be placed, along with:- Sale
- Share Certificate
- Transfer deed, and
- Details like minimum price etc.
On receiving, all such things, the broker will hunt for a buyer, and strike the deal over the trading floor of stock exchange or at any other place.
Once the negotiations are complete, broker will hand over the share certificate, and transfer form to the buyer, and take the payment.
Finally, the payment will be handed over to the seller, after deducting commission.
If, seller was a member of the company, his name will be struck off, from the register of member, once; company receives the share certificates and transfer forms