What do company directors do?

0

Hi, I’d like to form a limited company, but I’m a little bit worried about the role of company directors. From what I understand, shareholders are the owners of a company. But then if a shareholder is a company owner, what exactly does a company director do? What are their day-to-day responsibilities, and how do they fit into the big picture?

Answers

0

Shareholders own a company; directors manage a company. So, the director is appointed to take care of the daily operations involved in running the business and taking care of all administrative functions.

If you are setting up a company limited by shares on your own, you will be the shareholder and director. As a company director, you will be responsible for:

  • Registering the company with HMRC for business taxes
  • Filing annual accounts and annual returns at Companies House
  • Sending tax returns and accounts to HMRC
  • Paying business taxes
  • Keeping all company details up to date at Companies House and HMRC
  • Keeping accurate business records
  • Ensuring the company adheres to all legal requirements

Bigger companies often appoint directors to run the business side of things on behalf of the owners - this is the reason that Companies House gives you the option of naming different people as directors and shareholders. Smaller businesses tend to just be owned and managed by the same person or people.

a year ago
 

Your answer