If you intend to incorporate your startup business as a company, you will likely be one of the company’s directors. The law imposes numerous obligations on company directors. In many cases, the law does not distinguish between experienced and inexperienced company directors for startups. This article will explain the key obligations the law imposes on directors. This will help you navigate your duties as a startup owner.<\/p>\n\n\n\n
Companies are legal persons. This means they can do everything a natural person can, including entering into contracts and assuming liabilities. However, companies are not natural persons. Companies need natural persons to make decisions on their behalf. Directors are individuals the law recognises to act on behalf of companies.<\/p>\n\n\n\n
Put another way, directors are the company’s agents. You will also hear directors sometimes referred to as officers of the company.<\/p>\n<\/div>\n\n\n\n
The law imposes a series of general duties on directors. These laws are contained within the Companies Act 2006<\/em>, the primary legislation governing companies.<\/p>\n\n\n\n Below are the general duties:<\/p>\n\n\n\n It is important to appreciate that these general duties<\/a> govern every act you make as your startup company director.<\/p>\n\n\n\n These general duties are distinct from specific obligations, such as preparing and filing annual company accounts.<\/p>\n\n\n\n\n\n Continue reading this article below the form\n <\/i>\n<\/a>\n\n