Founders using Stripe Atlas often ask how to finalize ownership after incorporating in the United States. Here you’ll find a clear, SEO-friendly guide to the equity issuance process, the documents you’ll sign in the Stripe dashboard, and what to do next, including the 83(b) election with the IRS. The focus: help you confirm that founders legally own shares and are set up for future taxes, banking and fundraising.
What is equity issuance and why does it matter?
Equity issuance is the post-incorporation process that certifies who owns shares in the company. After forming the company, you still need to execute legal documents that record founder ownership. Stripe Atlas provides a stock issuance tool in the Stripe dashboard to do this for free.
This module sits midway through the course and connects prior topics—what Stripe Atlas is, reasons to incorporate in the United States, and the step-by-step incorporation flow—with what comes next: issuing equity, taxes, and banking. Starting here ensures founders have official share ownership before handling taxes and opening or using a business bank account.
Key concepts you’ll see:
- Common stock purchase agreement (CSPA): the contract that states how many shares each founder owns and the price to buy them.
- Board approval: a board action that confirms founders will purchase the shares.
- Stripe Atlas stock issuance tool: the dashboard feature that generates and routes documents for e-signature.
- Nominal purchase price: the small amount founders pay to buy their shares from the company.
- 83(b) election: a filing with the IRS that enables optimal U.S. tax treatment on future gains of the purchased shares.
How do you issue equity with Stripe Atlas?
Stripe Atlas organizes the process into three steps to confirm founder ownership:
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Step 1: sign stock issuance documents.
- Stripe Atlas prepares documents using your onboarding details.
- You’ll sign the CSPA indicating each founder’s share count and purchase price.
- The board of directors signs a board approval authorizing the purchase.
- The tool sends documents to all founders and board members as needed.
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Step 2: purchase the shares from the company.
- Pay the nominal amount stated in the CSPA.
- Deposit the funds into the company’s bank account.
- Keep a record of the purchase as a best practice for future fundraising.
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Step 3: consider filing an 83(b) election with the IRS.
- Stripe Atlas generates the 83(b) election form as part of stock issuance.
- You physically mail the letter to the IRS.
- The IRS mails back a letter with an IRS stamp confirming receipt and processing.
These steps move you from “incorporated” to documented ownership, ensuring capitalization is clear and ready for later financial and legal workflows.
What happens after signing stock documents?
Once documents are signed in the dashboard, two actions occur outside Stripe Atlas:
- You complete the cash purchase by depositing the nominal price into the business bank account. Keep proof of payment.
- You mail the 83(b) election to the IRS if you choose to pursue the tax benefit. Keep the stamped confirmation letter when it arrives.
From here, the module continues with key things to remember when issuing equity, and will also address taxes and banking so your company’s operations align with your cap table and compliance needs.
Have questions about any step—CSPA, board approval, or the 83(b) election? Share your scenario in the comments so others can learn with you.
