Tag Archives: duties

All you need to know about the Director’s Role

What are the main responsibilities of a Company Director? Here is a list of the 5 primary duties:

1. Act in accordance with the company’s constitution
2. Exercise independent judgement
3. Avoid conflicts of interest
4. Not accept benefit from third parties
5. Keep other directors updated about transactions or arrangements

The general duties of directors were previously contained in case law, you can find more about this topic on www.berr.gov.uk, the Department of Business, Enterprise & Regulatory Reform website.

Can anyone be a director? Yes, of course. Companies House lists only two restrictions, (unless given special permission from the court):
a) The Director must not have been disqualified from acting as a company director
b) They must not be an undercharged bankrupt

Since 1st October 2008 there are no longer any directors under the age of 16; any person who has not reached the age of 16 will cease to be a Director – Companies House will put a notice on the public register to show that the appointment has ceased. The company will have to amend its register of directors’ to show that the appointment has ceased. Consequently, if the company is left without an eligible director it will be in default and will need to appoint at least one director.

What responsibilities does a director have towards Companies House?
Every company director has a personal responsibility to deliver statutory documents to Companies House as and when required by the Companies Acts. These include: accounts, annual returns and notice of change of directors or secretaries or in their personal details.