A company director is in charge of managing your company\u2019s business and affairs. You are required under law to have at least one director. However, to function effectively, you may wish to appoint more than one director. This article will outline:<\/p>\n\n\n\n
In New Zealand, you may appoint any natural person as a company director, so long as they are not subject to certain disqualifications. They must be a person and cannot be a private or public organisation. All New Zealand companies must have at least one director who lives in New Zealand or Australia (and is a director of a company incorporated in Australia).<\/p>\n\n\n\n
The following factors will disqualify a person from being a director if they are:<\/p>\n\n\n\n
Your company\u2019s governing documents may include further restrictions or qualifications on who is eligible to be a director.<\/p>\n<\/div>\n\n\n\n
Directors are typically appointed by ordinary resolution of your company\u2019s shareholders. However, you should always check your company\u2019s constitution<\/a> or shareholders\u2019 agreement<\/a> for specific appointment requirements (for example, a founder\u2019s entrenched right to appoint a director for so long as that founder holds at least one share in the company). <\/p>\n\n\n\n An ordinary resolution is a resolution approved by a simple majority of the shareholders entitled to vote on such matters. <\/p>\n\n\n\n You cannot appoint an individual as a director unless they have:<\/p>\n\n\n\n You will also need to ensure that the company keeps records of the shareholders’ resolution appointing the director and that both the company\u2019s director register and the Companies Office is updated to reflect the appointment.<\/p>\n<\/div>\n\n\n\n Once you appoint an individual, their acts are valid as the director of your company. This is still the case, regardless of whether their appointment was defective or if they were not qualified for the appointment. Therefore, you must take immense care when looking for and appointing a director, as their actions will be immediately valid upon appointment.\u00a0<\/p>\n\n\n\n\n\n Continue reading this article below the form\n <\/i>\n<\/a>\n\n