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Frequently Asked Qustion

What should I know before changing directors in Private Limited Company?
Can I resign myself from the company?
What should I do to remove a Director from a company?
Do I need to sale/transfer my shares while ending my tenure as director in a company?

Resignation of Director

Company director are elected by the share holders to manage the affairs of the company as per the Memorandum of Association and Articles of Association of the company.There may be many reason to resign a director or remove by share holders. In that case director has to resign own self or be removed by filing the intimation of change of Director with MCA.

There are different procedure to resign or removing of director by share holders. A Director can resign from a company by giving a notice in writing to the company and the Board is required to file the necessary filings with MCA within 30 days. If director want he can also send a copy of the resignation letter to the ROC directly by filing a different set of forms.

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Types of Director in a Company

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Executive Director

Executive Director is a Director, who is in full-time employment of the company. Hence, executive directors are deeply involved with the management of the company and managing affairs of the company.

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Ordinary Director

Ordinary Director means a simple Director who attends the Board Meetings of a company and participates in the matters put before the Board of Directors. These Directors are neither whole-time Directors or Managing Directors.

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Additional Director

Additional Director is someone appointed by the Board of Directors between two annual general meetings subject to the provisions of the Articles of Association of a company. Additional Directors can hold office only up to the date of next annual general meeting of the Company.

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Alternate Director

lternate Director is someone appointed by the Board of Directors in a general meeting to act for a Director called the original director during his/her absence for a period of not less than three months. Generally, alternate Director are appointed for a person who is a Non-Resident Indian or Foreign Collaborators of a company.

 

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