You can bulk correct errors made while registering equity awards in Carta.
You can also correct equity awards individually. The corrected grant details will be effective as of the grant issuance date and change history will be available on Carta. If you want to make a modification at a certain point in time, process a grant amendment.
For the purpose of this article, we will use the correction of option grants as an example. Please, bear in mind that the same process is valid for Share Grants, Warrants, RSUs and Phantom Shares.
Additional resources:
1. Go to Equity Awards > Options (or applicable equity award type) > Grants.
2. Click Bulk actions > Correct grants issued offline.
4. Check the boxes for the grants that you would like to modify. Details of the grant will be displayed if you click View. Click Continue.
5. The selected grants will be populated into a bulk modification file that can be exported by clicking Download file. It will be made available to you through a modal in the bottom right-hand side of your page and via email.
6. Make the appropriate changes in the spreadsheet and click Upload file when you are ready to process the changes on Carta. If there are any errors, Carta will provide you with a file detailing the errors and how to correct them.
7. Review the number of grants corrected and click Publish changes.
8. Once successfully published, you will receive the following confirmation.
| Processing a correction will trigger a notification to the grantholder. Grants with secondary transaction must have them revoked prior to being corrected. |
Import File Columns
| Field | Column | Definition |
| id | A | Used by the system when importing. Do not delete or modify. |
| legal_name | B | |
| C | ||
| country | D | |
| correction_reason | E | Required. Reason for correction. |
| documents | F | To add a document, fill in the name of the file and the category of the document in parenthesis. Example: "grant_agreement.pdf (issuance agreement), exercise_template.pdf (exercise agreement)" Learn more. |
| security_plan | G | Required. Plan name of the grant. Needs to be added onto Carta first before importing. |
| date | H | Required. Date of grant. The date format must be DD/MM/YYYY. |
| expires | I | Required for EMI grants. Expiration date of the grant. The date format must be DD/MM/YYYY. |
| exercise_price | J | Required. Exercise price. It is the price, the grantholder has to pay per share when they exercise the grant. No currency symbols. |
| quantity | K | The number of shares the options are granted over. Must be whole positive number. |
| vesting_type | L | Required. Time-based, Immediate, Performance-based, Custom. Learn more. |
| vesting_on | M | Select when the tranches should vest. First of month means that the tranches will vest on the first day of each month. Same date means that the tranches will vest on the same date each month, as defined by the start date. Last of month means that the tranches will vest on the last date of each month. |
| vesting_start | N | Date when the vesting schedule starts. If the vesting schedule have a cliff, then the vesting date is the start of the cliff. The date format must be DD/MM/YYYY. |
| vesting_months | O | Required. Vesting period in months including any cliff e.g. 48 for 4 year vesting. |
| vesting_cliff | P | Time-based or Immediate. Required. This it the vesting cliff period in months. For a 12 months vesting cliff, the input should be 12. This can also be 0, if there is no vesting cliff. |
| cliff_percentage | Q | The percentage of grant to be vested at the end of the cliff period. No % symbol. |
| vesting_interval | R | Required. This is how often the grant vests after the cliff (if applicable). If monthly, input 1. If quarterly, it'll be 3, etc. An interval X determines that after any cliff, vesting occurs every X months. |
| grant_id | S | If this is a performance-based vesting, each tranche will generate a new line and the id (column a) will be reflected here to ensure each tranche is correctly associated with the grant. |
| consideration_price | T | If the grantholder paid for the grants, input the price paid per share. No currency symbol. |
| consideration_payment_date | U | Date of when the grantholder paid the consideration price. |
| consideration_price_currency | V | The currency of the consideration price. Use currency code (if in Pounds Sterling, use GBP for example.) |
| consideration_price_rate | W | If the transaction occurred in a different currency compared to the share class currency, input the exchange rate. |
| exercise_price_currency | X | If the transaction occurred in a different currency compared to the share class currency, input the currency (in e.g EUR for euros). |
| exercise_price_rate | Y | If the transaction occurred in a different currency compared to the share class currency, input the exchange rate. |
| note | Z | Add comments to the grant visible to administrators and grant holders. |
| funding_round | AA | The funding round of which the grant was issued, if relevant. The name must match exactly the round name in Carta, found under Shares > Rounds. Learn more. |
| is_notified | AB | Has this grant been notified to HMRC? YES if it has, leave blank if no. |
| notified | AC | Date of HMRC notification. Date format must be DD/MM/YYYY. |
| first_name | AD | Any changes to these fields will be ignored during the import. If you'd like to modify stakeholder's details, please refer to these steps. If you have issued equity awards to the incorrect individual, consider revoking the issuance and issuing to the correct individual. |
| middle_name | AE | Any changes to these fields will be ignored during the import. If you'd like to modify stakeholder's details, please refer to these steps. If you have issued equity awards to the incorrect individual, consider revoking the issuance and issuing to the correct individual. |
| last_name | AF | |
| registration_number | AG | |
| company_name | AH | |
| parent_company_name | AI | |
| parent_company_registration_number | AJ | |
| parent_company_country | AK | |
| vehicle_id | AL | |
| vehicle_type | AM |
Correcting Documents in Bulk
To add documents to the corrected equity awards, input the name of the file (as it is saved in your computer) with the format included followed by the type of document in parenthesis. For example: grant_agreement.pdf (issuance agreement).
If multiple documents are added, separate the documents with a comma: grant_agreement.pdf (issuance agreement), board_approval.pdf (board resolution).
The following types of documents are supported by this workflow:
- issuance agreement
- conversion instructions
- board resolution
- shareholder resolution
- plan
- other
Once the correction file is uploaded to Carta with the document column populated, you will be able to upload the detected files to Carta.
Click Continue.
Troubleshooting
1. Download the processed file.
2. Look for the cells highlighted in red.
3. Hoover your cursor over the highlighted cell and it will contain comments that will help correct the error.