If you would like to set up a company in the UK, you will be required to appoint a minimum of one company director. There is no statutory limit to the number of directors that can be appointed.
A company director can be appointed either during or after the company formation stage, however, there always needs to be at least one company director, who is a natural person – as opposed to a corporate director (another company or LLP appointed as a director).
However, in some cases, a company’s articles of association may require more than one director to be appointed. In addition, if you are setting up a public limited company, you will be required to appoint a minimum of two company directors and a company secretary.
Who can be a company director?
It is possible for almost anyone to be a company director. The main requirements are that they must be at least 16 years old, they cannot be an undischarged bankrupt and they cannot be currently disqualified from being a company director.
Corporate entities – companies and LLPs, can be appointed as directors, although it is expected a ban on corporate directors will come into force in the near future.
Is it possible for a company director to also be listed as a shareholder?
According to UK law, the same person can be the only company director and shareholder of a business. This means that it is possible to set up a private limited company on your own and assume the position of company director and shareholder.
In practice, many people set up limited companies where they are the sole company director, shareholder and the only employee. it is also possible for a business to appoint multiple directors and invite new shareholders to the company at any stage.
Does a company need to appoint a company secretary?
The short answer is no. Prior to the Companies Act 2006, all private limited companies were required to appoint a company secretary, in addition to a company director; however, since April 2008, it is possible to set up a private limited company with a sole company director and no company secretary.
How do I appoint a company director or terminate a director’s appointment?
If you would like to appoint a new company director, terminate a director’s appointment, or make changes to a director’s public record, you will need to complete the required Companies House form together with the necessary supporting documentation.
To appoint a new company director, you will need form AP01, a letter of consent to act and a board resolution. To change a director’s details use form CH01 and to terminate a director’s appointment you will need form TM01, a letter of resignation and a board resolution.
The forms can be submitted online using Companies House WebFiling service, or if you are a customer of Quality Company Formations, you can use your online customer portal which is connected to Companies House and very easy to use.
If you would like advice about appointing a director or terminating a director’s appointment, please contact our experienced company secretarial team today on telephone number 020 3984 5389.