Appointment of a New Director in Private Limited Company

Appointment of a New Director in Private Limited Company

Appointment of a New Director in Private Limited Company

       Directors are key person in whom Shareholders of company trusts for their money invested, here in this article we will discuss about how a company can have new Director on its Board legally in India :
Required documents and Forms:


A. Obtain Consent of Proposed Director:        
Proposed Director Should give his consent to act as Director in the Company as per Form DIR-2 , this is very important document and company must obtain form DIR-2 form before proposing him Director of the Company.
 
B. Digital Signature of Proposed:
If proposed Director does not have Digital Signature , he must obtain Digital Signature from Certifying Authority in India.

C. Obtain Director Identification Number (DIN):
If the proposed Director does not have DIN, Director is required to pass Board Resolution for proposing him to be Appointed as Director of the Company , the company should apply for DIN no of the proposed person. The Resolution is required to be attached with Form DIR 3. DIN is only allotted once for lifetime of Director.  

D. Hold Extra Ordinary General Meeting of the Company: 
Now on the meeting date and time , hold the meeting and Pass the Necessary Resolution for Appointment of Director as Company. 

E. Issue Letter of Appointment.
Now issue letter of appointment to the Director of the Company mentioning terms and conditions of appointment and salary to be payable to the Director
 
F. File form DIR-12 to ROC:
Once all the above steps are completed the Company should file Form DIR-12 to ROC within 30 days form the date of appointment of Director , It is always advisable to File the Form DIR-12 within next day of appointment, so as to avoid late filing and Additional Fee.



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