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Company Directors
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1. Can anyone be a Company Directors?
Generally it is up to the members to appoint the Company Directorss they believe will run the company well on their behalf. The only restrictions that prevent anyone becoming a Company Directors are:
the proposed Company Directors must not have been disqualified by a court from acting as a Company Directors the person must not be an undischarged bankrupt; for a PLC or their subsidiaries, the proposed Company Directors cannot be over the age of 70 unless specifically approved to be a Company Directors by a general meeting of the company.
2. What responsibilities does a Company Directors have towards Companies House?
Every Company Directors has a personal responsibility to ensure that statutory documents are delivered to the Registrar as and when required by the Act. In particular:
accounts signed by a Company Directors (only for limited companies);
annual returns signed by a Company Directors (Form 363);
notice of change of Company Directors or secretaries (Forms 288a/b/c); and
notice of change of registered office (Form 287).
3. What happens if accounts or annual returns are not filed by a Company Directors?
Each Company Directors of the company could be prosecuted. Failure to deliver documents by a Company Directors on time is a criminal offence. On conviction, a Company Directors could end up with a criminal record and a fine of up to £5,000 for each offence.
4. Are Company Directorss really prosecuted?
Yes. On average more than 1,000 Company Directorss are prosecuted each year for failing to deliver accounts and returns to the Registrar on time. Persistent failure to deliver statutory documents on time may also lead to a Company Directors being disqualified from taking part in the management of a company, for a specified period.
5. What happens if accounts are delivered late by a Company Directors?
As a Company Directors of a private limited company, a Company Directors normally has a maximum of 10 months from the accounting reference date in which to deliver company accounts to the Registrar.
As a Company Directors of a public limited company, a Company Directors normally has a maximum of 7 months from the accounting reference date in which to deliver your company's accounts to the Registrar.
6. How can prosecution and penalties be avoided?
A Company Directors should make sure the company complies on time with all its filing obligations, not only in connection with its accounts and annual returns, but in connection with all other documents required under the Act.
7. Isn't my accountant supposed to do all this, rather than a Company Directors?
Your accountant's responsibilities depend on the agreement you have with him or her. However, the responsibility to deliver accounts and other statutory documents rests entirely with the Company Directorss.
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