This week we are rolling out the ability for users to bulk review and accept certificates sent to them on Carta. This release enables investors to bulk accept certificates with portfolio matches, significantly reduces the time needed to accept. The new experience includes: improved user experience, new tooltips, ability to bulk sign and request table access.

Here's a preview of how the feature works:

The feature is live today and will be rolled out to all users over the next two weeks. If you have any other questions, you can contact Carta here.

LPs can now nominate a witness to provide a digital witness signature to their subscription documents during closings. 

What’s new?

Certain jurisdictions legally require a witness for subscription documents. A witness is a third-party individual who observes someone signing a document and provides a signature themselves to confirm that the original signature is genuine.

Previously, signature witnessing was a clunky process which involved downloading and signing physical documents. Now, signatures can be securely witnessed online in a few clicks. 

Who is it available for? 

Digital witnessing is available to fund administration customers and their LPs when closing a fund domiciled in the UK, Jersey, Singapore or the Cayman Islands.

How do I use it?

As an LP:

Upon signing the subscription documents, you will be prompted to add a witness and enter their details to complete signing. The witness will then receive an email. You can nudge the witness by resending the signature request email. 

As a witness:

You will receive an email informing you of the witness signature request.

Follow the link in the email to witness the signature on the LP’s subscription documents. 

After you have signed, you’ll receive an email confirming that the process is complete. 

As a GP:

You’ll be able to track the progress of signatories within Carta. 

When all signatures are complete, you can countersign the subscription documents. 

What’s New?

We’re making improvements to streamline Restricted Stock Awards (RSA) management on Carta. 

• Automatically assign the issue date once stakeholders accept their RSAs
• Forfeit unvested RSAs at termination instead of repurchasing them
• Clearer legal language and displaying all attached documents during acceptance

Automatically assign the issue date once stakeholders accept their RSAs

When RSA payment is complete, company admins can confirm the payment date at Carta to trigger the acceptance workflow in Carta. By automatically populating the issue date as the day of acceptance, this eliminates the need for company admins to retroactively update the RSA issue date. 

How it works

1. When an RSA has been released from draft, it will appear as a new status called waiting for payment
   
   
   
   
   
2. Enter payment details by clicking to the right of the table and selecting "Enter payment details"
   
   
   
   
3. On the enter payment details screen, enter the date the RSA payment was processed offline
   
   

4. Once the RSA has payment date has been entered, the status will change to waiting for acceptance, and the securities will be sent to signatories to review and sign.  

5. The RSA will not have an issue date up until it is accepted by the stakeholder. When the RSA is accepted, the issue date will automatically be assigned as the date accepted.

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Forfeit unvested RSAs at termination instead of repurchasing them

RSAs can now be forfeited rather than repurchased at termination. Users can now choose to automatically forfeit unvested shares or require a repurchase to return shares to the pool.

How it works

Under the Unvested RSA Behavior column, user can assign a new status: 'Forfeit unvested shares' to automatically forfeit unvested shares upon termination.

Clearer legal language and displaying all attached documents during acceptance

During acceptance, RSA recipients will see updated legal language for RSAs, encompassing the legally binding nature of accepting those securities at Carta. Holders must also agree that they have read and accept the attached documents before finalizing acceptance. 

How it works

New dedicated tab for accepting RSAs

New acceptance screen with updated legal language and new document references

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Who is this Available For?

You can now access these updates as a Carta company administrator. Whether handling standard RSAs or RSAs for services, you’ll find it easier to keep your cap table in sync with legal documentation.

Anything Else I Need To Know?

While the attachment of supporting documents is optional during the RSA setup, ensuring they’re available during the review can help streamline administrative reviews and future audits. Refer to our support site for additional guidance on managing RSA transactions.

When your financials are ready to be published, you now have the option to share them with a separate file attachment instead of grouping the attached file to the financials document. This means that your LPs will receive 2-3 separate files (depending on if you are also sharing PCAPs) in their Carta account and/or email for them to download.

To do this, navigate to the financial package that is ready to approve. Select approve and publish or approve and schedule. Check yes next to the question 'Would you like to send the package with an attachment?' and select 'Attach as separate file' to the question 'How would you like to attach the file?'. You will then upload the file, indicate what type of document it is, and name it. 

Once published, you will see the documents in the Fund > Partners > Documents page. That same document can be found on the LPs side in their portfolio. 

If you selected to notify the LP about the documents shared, the LP will receive an email notifying them of the new documents existence.

Tactyc now integrates real time cap table data into its forecasting and planning platform. The connection to Carta streamlines the process of adding investments data in Tactyc, providing fund managers the ability to make data-backed decisions with greater speed and accuracy. 

Why is this valuable:

Historically, investment updates have needed to be manually uploaded and maintained in Tactyc. This process is often time-consuming and error-prone, making it difficult to ensure current forecasting for your fund is accurate and up to date. 

You can now sync ownership and financing history for all portfolio companies tracked on Carta. Starting from the fund's initial investment, all subsequent financing rounds will get pulled into Tactyc, regardless of whether you participated or not. The new Tasks and Notifications page will also prompt weekly in-app notifications and review for cap table updates including new rounds for existing investments, net new investments, and newly granted cap table access. 

Overall, the integration accelerates your ability to leverage Tactyc’s powerful forecasting tools and insights. With immediate access to real time cap table data, you can more quickly track how you're following your original fund construction plan across pacing, reserve optimizations, portfolio insights, and more.

Who is this available for:

This integration is available for all Tactyc customers who have an investment firm account in Carta, with accepted securities issued from portfolio companies on Carta.  If you need assistance with portfolio consolidation to one main firm account, reach out to our team at tactyc@carta.com.  

Basic cap table access or higher is also required to pull in a portfolio company's details — learn more here.

How does it work:

1️⃣ Set up the integration by going through a Carta mapping and data review workflow in Tactyc

2️⃣ Once data has been approved, Performance Cases in the respective Investments page will update with Carta sourced data 

3️⃣ Re-sync Carta data on demand, prompting review and approval for Carta updates across new rounds for existing investments, net new investments, and newly granted cap table access.

How do I learn more?

Carta Support Article: How to Leverage Tactyc's Integration with Carta.

Signup for the Carta Product Webinar on April 1.

Anything else I need to know?

Stay tuned for additional release notes in Q2, covering Carta integration enhancements and updates.

Auditors and funds using our pilot audit confirmations tool, can now include additional questions to portfolio companies they send to the portfolio companies.

For Auditors:

When requesting audit confirmations from portfolio companies, you can now select up to 4 additional questions to gather supporting documentation from the portfolio company:

Companies can respond to audit confirmations and optionally attach documents to answer the additional questions asked by their investor's auditors.

Companies using Carta for cap table management can select and share documents already on the platform, or grant investors access to the needed data with just a couple of clicks.

If you are a GP or Fund CFO, talk to your auditor about using this new tool to help streamline your audit!

Auditors interest in joining the pilot can submit an request at: https://carta.com/waitlist/audit-confirm/

Companies and investors using our waterfall and exit modeling tools, can now model out the impact of a Change in control premium on their convertible notes. The waterfall tool will now calculate the payout value for convertibles based on the change in control premium and the exit value inputed. 

Example: Investor's view of an exit with Convertible notes that have 200% change in control premium

Companies and shareholders can review the terms of a convertible note in the Certificate details modal in their portfolio or on their cap table.

With Carta’s new UK SPV formations tool, you can form and close SPVs as GP/LP co-investments. Set up your UK SPV on Carta using a streamlined in-app flow with enhanced security and compliance checks.

What’s new?

Preparing lengthy legal documents, running rigorous identity checks, navigating limited banking options: forming an SPV in the UK is hard work. Carta streamlines the SPV process at every step, starting with a smooth setup experience.

With our new SPV formations tool, you can form a GP/LP SPV entity and close LPs quickly, efficiently and professionally. The GP/LP co-investment structure gives you control throughout the lifetime of the SPV, ensuring you have decision-making power while minimising the workload for your LPs. 

The tool includes:

• An in-app formation process that guides Lead Partners through each step
• Smooth in-app closing with subdocs and support for SPV investors
• Bank account opening within 24 hours
• A dedicated portal for investors to sign documents, fulfill capital calls and view documents
• Comprehensive KYC/AML services for vetting SPV stakeholders and assessing investor identity risk

Who is this available for?

This unhosted SPV is available to regulated investors looking to form a GP/LP SPV in the UK. Current Carta customers can get started with their SPV formation in-app.

How do I use it?

Get started with your SPV formation in-app – reach out to Carta staff to request access, and we’ll share a direct link to the SPV formations page.

1. Fill out the Engagement Letter request form, specifying which add-on products and services you require. Review your package summary, and submit.
   
2. Complete KYC by submitting your Lead Partner identity information.
   
3. Review and sign the Engagement Letter.
   
   
4. Confirm your SPV entity name and share stakeholder contact information for the GP entity, Investment Manager and initial LP signatories.

1. Set up your governing terms.
   
   
2. Sign the LP Agreement and Investment Manager Agreement.
3. Invite your investors to the SPV on Carta.

Anything else I need to know?

To get started, you’ll need to reach out to Carta staff and request access. Once approved, you’ll receive a direct link to the UK SPV formations page.

We've launched a new guided "Get started" workflow for companies that sign up to get QSBS Attestations from Carta. After signing up for a QSBS review with Carta the feature will guide you to provide the Carta Valuations and Tax team the necessary information to perform the attestation.

After signing up the guide simplifies the process of connecting a your company's accounting provider to Carta, making it easy to provide the necessary financial data for your QSBS attestation. This integration will help Carta's QSBS Delivery reduce the back and forth needed to collect historical financial information about your company

For companies that either do not use one of our supported accounting providers, the guide offers a way to manually upload financial statements, guided by questions that adapt based on your companies size and stage.

This new guide will make it easier and faster to onboard onto our QSBS product, and ensure a timely review from Carta's team. If you have any questions reach out to your assigned Carta account team or qsbs@carta.com to learn more!

What’s new?

Global investors often choose to domicile funds in the Cayman Islands, due to its regulatory framework and popularity among LPs. Carta now better serves GPs and LPs in Cayman-domiciled funds with an enhanced Closings experience. 

What’s important about this?

This release allows GPs of Cayman-domiciled funds to offer a smooth onboarding experience to LPs, while ensuring compliance with Cayman Islands legal requirements. To meet these compliance standards, we have introduced: 

• Witnessed signature collection on subscription documents
• A Cayman-compliant investor questionnaire, guiding LPs through necessary disclosures and regulatory checks required for investors in the Cayman Islands

Who is this available for?

This update is available for funds domiciled in the Cayman Islands. 

How do I use it?

Funds domiciled in the Cayman Islands will automatically benefit from these updates, with no further action required. LPs will be guided through a Closings experience tailored for Cayman-domiciled funds.