In order to transfer funds within a project, you will need to make sure that the new account that will receive funds has been added as a position within the project in question.

The following video shows you how to add a new position, then transfer those funds to the purchaser of those funds. Step-by-step instructions are available below the video.

Step 1: Add New Position

Prior to transferring funds, the new Account will need to be added to the Positions for the Project. First, select the Positions tab.

Next, select New Position and select the Account from the drop-down, which displays all Accounts in the system that do not already have a Position.

Finally, click Create Position.

Step 2: Transfer Investment

To start, click on the Account that you would like to transfer an investment from.

In the top right-hand corner select New Transaction and Transfer.

In the pop-up that appears, first complete the below:

  • Transfer To: Select the receiving Account which you just created a Position for.

  • Date: Define the effective date for the transaction (what date the investment is transferred).

  • Equity Class: Select the relevant Class of shares.

  • Units: Enter the specific number of Units to transfer.

Then, select how the Amount Exchanged will be determined, either by defining a dollar amount, price per unit, or the cost basis for the units.*

*Note: The Position Value will not reflect the Amount Exchanged, which reflects an exchange between two investors and does not impact the Capital Account or Class Unit Price. For example, if the Class unit price is set to $1,000 and you enter a transfer between two investors for 100 units with a specified amount of $200,000, the Position Value for the new investor will display as $100,000.

Finally, you can select Lot Priority to define which units will be transferred if transferring only a portion of held units.

Once complete, select Transfer Equity.

Step 3: Review Transaction

Once entered, you will immediately see the transfer reflected for the Transferor. The Amount displayed will be the Amount Exchanged as defined in the Transfer details.

By navigating to the Transferee (Position which received the Transfer), you will be able to confirm the Amount Exchanged (Amount), Units Held, and Position Value.

Related Article: Create a Contact and an Account (Video)

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