Currently I have 2 Ordinary Shares.
My wife has 1 Ordinary Share and 1 Class B Share.
My mother, father and father in law have a class C share each.
I started contracting via a ltd company since October 2013 and as I had already had PAYE earnings that had taken me above the 40% threshold, I paid my wife dividends via the class B share.
I intend to pay my parents and father in law dividends as of next tax year. This money will not be paid back to me or my wife in any way shape or form.
I recently read about the Arctic Systems case and after researching, the advice seems to be that having multiple share classes is not recommended.
I want to move to a situation where I have a single ordinary share class with the following allocation:
Me : 3 shares
Wife: 2 shares.
Mum : 1 share.
Dad: 1 Share.
Father In Law : 1 Share.
So I will need to issue an additional share.
Currently share class B has no voting rights and share class C has no voting and no entitlement to distributions. However, I am happy to effectively have those restrictions waived and all shares to be ordinary voting shares.