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When a Director also acts as Company Secretary

 

A common question people raise when forming a company is whether a director can also act as the company secretary. The answer to the question used to be "it depends".

Companies with One Director

Prior to the 1st October 2009 (when certain provision of the Companies Act 2006 were introduced) if when forming a company, there was be only one director (single director companies as they are known), then that same person could not also then be the secretary. In this case another person or company would have been required to fill the role of secretary.

More than One Director

Again before the inception of the Companies Act 2006 regulations, where there was to be more than one company director, one of these persons could then also act as the company secretary.

Using a Nominee Secretary

It was common under the provisions of the Companies Act 1985 which existing up to 1st October 2009 for a sole director to employ the services of a nominee secretary in order to comply with the requirements which prohibited a single director also acting in the capacity of secretary.

Current Regulations

From April 2008 UK companies were not longer required to have a company secretary and thus from this date a single person could register a company and appoint themselves as director and shareholder, leaving the position of company secretary vacant.

From 1st October 2009 the Companies Act 2006 further simplified the company appointments process by allowing a single person to occupy all three positions of director, secretary and shareholder, without needing a second person.

Thus in modern day company formations a sole proprietor can act fill the mandatory positions of director and shareholder and has the option of also appointing themselves as company secretary.

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