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Company Director Search
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1. Can anyone be a Company Director?
Generally it is up to the members to appoint the Company Director Searchs they believe will run the company well on their behalf. The only restrictions that prevent anyone becoming a Company Director are:
the proposed Company Director must not have been disqualified by a court from acting as a Company Director the person must not be an undischarged bankrupt; for a PLC or their subsidiaries, the proposed Company Director cannot be over the age of 70 unless specifically approved to be a Company Director by a general meeting of the company.
2. What responsibilities does a Company Director have towards Companies House?
Every Company Director 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 Director (only for limited companies);
annual returns signed by a Company Director (Form 363);
notice of change of Company Director 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 Director?
Each Company Director of the company could be prosecuted. Failure to deliver documents by a Company Director on time is a criminal offence. On conviction, a Company Directorcould end up with a criminal record and a fine of up to £5,000 for each offence.
4. Are Company Directors really prosecuted?
Yes. On average more than 1,000 Company Director 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 Director 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 Director?
As a Company Director of a private limited company, a Company Director normally has a maximum of 10 months from the accounting reference date in which to deliver company accounts to the Registrar.
As a Company Director of a public limited company, a Company Director 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 Director 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 Director?
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 Director.
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