Frequently Asked Questions

Find answers to the most commonly asked questions about unlisted shares, the buying/selling process, and how UnlistedGain works.

General Questions

What are unlisted shares? +

Unlisted shares are equity shares of companies that are not listed on any recognized stock exchange such as NSE or BSE. These include pre-IPO companies, subsidiaries of listed companies, and private enterprises. They offer the opportunity to invest in high-growth companies before they become publicly available.

Is it legal to buy and sell unlisted shares in India? +

Yes, buying and selling unlisted shares is completely legal in India. These transactions are conducted as off-market transfers through Depository Participants (DPs) and are governed by the Companies Act, 2013 and SEBI regulations. All transactions must be reported for tax purposes.

What is UnlistedGain? +

UnlistedGain is India's premier marketplace for unlisted and pre-IPO shares. We connect buyers and sellers, facilitate secure transactions, and provide comprehensive research and data on hundreds of unlisted companies to help you make informed investment decisions.

Buying & Selling

How do I buy unlisted shares on UnlistedGain? +

Browse our catalogue of unlisted companies, select the company you wish to invest in, and place a buy order by contacting our team. We will guide you through KYC verification, payment, and share transfer. Shares are typically credited to your demat account within 24–48 hours of payment confirmation.

What is the minimum investment amount? +

The minimum investment varies by company and depends on the current share price and minimum lot size. Typically, investments start from as low as ₹10,000. Contact our team for specific company details.

How do I sell my unlisted shares? +

Visit our Sell page and submit your sell request with the company name, quantity, and your expected price. Our team will find a buyer, coordinate the off-market transfer from your demat account, and ensure payment is credited to your bank account.

What documents are required? +

You need a valid PAN card, an active demat account, your Client Master List (CML) from your DP, and bank account details. All documents must be self-attested. Our team handles the rest of the documentation including the Delivery Instruction Slip.

Tax & Compliance

What are the tax implications of investing in unlisted shares? +

If held for less than 24 months, profits are taxed as Short-Term Capital Gains (STCG) at your income tax slab rate. If held for more than 24 months, profits are taxed as Long-Term Capital Gains (LTCG) at 20% with indexation benefits. We recommend consulting a tax advisor for personalized guidance.

Is it safe to invest in unlisted shares? +

While unlisted shares carry higher risk than listed securities (including lower liquidity and limited public information), investing through a trusted platform like UnlistedGain mitigates counterparty risks. We verify all sellers, validate share authenticity, and manage the entire transfer process securely.

What happens when a company I invested in goes for an IPO? +

When the company lists through an IPO, your unlisted shares will be converted to listed shares and will appear in your demat account as tradeable securities. You can then sell them on the stock exchange at the prevailing market price. There may be a lock-in period of 6 months for pre-IPO investors in some cases.

Last updated: April 2026