Event Based Corporate Filing

ADDITION OF NEW DIRECTOR:

ABOUT: The company is an artificial person and its daily affairs are managed by the directors. The Directors are elected by the shareholders of the company and management of the company driven by the board of directors as per the MOA & AOA. There may be circumstances when a company requires the appointment/ addition of a new director with existing directors.

Some of them are as:

• A company needs to appoint new talent on board.

• A company needs to appoint a new director due to inability to work with existing directors like retirement, personal reasons, death, resignation, etc.

• A company needs to appoint a new director to assign more operational responsibilities without losing strategic control

• A company formation, whether it be one person or private limited or public limited require a minimum number of directors for compliance with of statutory limit. Subsequently when Directors have to be added a resolution for adding a Director must be passed in the General Meeting.

A resolution can be passed to appoint the following kind of directors:

Managing Director: one, who possesses substantial powers of management of affairs of the company by virtue of Articles of Association or an agreement with the company or a resolution passed in its general meeting or by its Board of Directors.

Whole-time Director or Executive Director: one, who is in full-time employment of the company.

Ordinary Director: one, who attends the board meeting and participate in the matters put before the board. But do not have special powers and responsibilities.

Additional Director: one, who is appointed by the Board of Directors between two annual general meetings and holds office only till the next general meeting. But can not exceed the limit of the strength of the board of directors.

Alternate Director : An alternate Director is appointed by the Board of Directors in place of an “ordinary Director” during his absence for a period not less than three months from India.

Professional Director: A Director possessing professional qualifications is appointed to the Board to utilize their expertise in the management of the company.

Nominee Director: Banks and Private Equity Investors generally appoint their representatives to the board, and such Directors are called Nominee Directors.

Document Required:

• Passport

• Identification proof (PAN card)

• Proof of residence (electricity bill, rental agreement, Aadhar Card, Voter ID, passport, driving license)

• Passport size photograph

• Digital signature certificate of the proposed director

• PAN card: mandatory for an Indian applicant

• Passport: mandatory for a foreign applicant.

Process of Adding a Director:

Step 1: Check articles (AOA) of the company that supports adding an additional director. If there are no such provisions in the AoA of the company, then first modify the AoA of the company in a way that allows adding an additional company director.

Step 2: The proposed director must give his or her consent to act as the director via Form DIR-2.

Step 3: The company must pass a board resolution in a general meeting for appointing a particular person as a director of the company. Step 4: Get DSC (digital signature certificate) and DIN (director identification number) for the new director.

Step 5: Collect the basic documents and information required for the process and get Form DIR-2, Form DIR-12, and Form DIR-8 at ROC done.

## There may be complex things that occur during the registration process which is a time-consuming and lengthy process. The legal language of these forms is complex in nature.

The government Portal and its functionality are in itself quite challenging. The support of professionals and experts can save your precious business time. Our team of LAW COMPLIANCES, having expertise in all such kinds of matters, will resolve all problems pertaining to registration & compliances and will save your precious time and Money.  

Working Process:

>Choose your Plan and Pay Securely.

> Upload required document

> An expert will be assigned to you for the procedure of submission of the application.

> Our Expert will complete the process required for your work along with the necessary assistance over a call during business hours.

BASIC PLAN: Assistance in adding a Director board of the company. Additional director having DSC & DIN, Service Fees: 3999/- excluding government Fees.

STANDARD PLAN: Assistance in adding a Director board of the company. Additional director having DSC only and fees of one DIN inclusive, Service Fees: 4999/- excluding government Fees.

ACE PLAN: Assistance in adding a Director board of the company. Additional director inclusive fees of one DSC & one DIN, Service Fees: 5999/- excluding government Fees.

Law Compliances can help you in obtaining of Additional director in 4-7working days

.** ** Time taken for Incorporation/ Registration will depend on the submission of the relevant documents by the client and also approval from the CONCERNED Government authorities.

FREQUENTLY ASKED QUESTIONS (FAQ):

What are the eligibility criteria for adding a new Director?

Yes, there is and it is as follows:

• The proposed individual must be a major

. • They must qualify as per the laws mentioned under the Companies Act, 2013.

• The members of the board must consent to the appointment of the proposed individual.

Who can’t be a director of a company?

A person cannot be appointed as a director if he doesn’t qualify under the AoA, if they are discharged bankrupt, or if they are restricted by a court order.

Can someone with a criminal record be a Director?

Yes, a person with a criminal record can be a director of a company as long as they are not restricted specifically by a court order.

Does whether Director needs to subscribe shares for his appointment?

There is no requirement to subscribe to the shares by the director. However, if the Articles (AoA) of the company prescribe for any such subscription, it must be fulfilled as a condition for his appointment. ***