In today’s busy world, directors’ time is increasingly being devoted to the core activities of the business and inevitably less time and effort is spent on administrative affairs. Since April 2008, unless there is an express requirement in the company’s articles of association, the Companies Act 2006 no longer requires private limited companies (‘limited’ or ‘ltd’) to appoint a company secretary.
However, the important tasks that would normally fall to a company secretary, including shareholder administration and communication, corporate governance and statutory compliance must still be done. In the absence of a company secretary, the directors must take on this responsibility. As a result, many private companies continue to employ a company secretary in order to reduce the administrative and corporate governance burdens that are otherwise placed on their directors.
Muhit & Co can ensure that the compliance requirements of the Companies Act and a company’s own Articles of Association are met, both in terms of the filing of statutory forms and the correct drafting of documents to record the actions of directors and shareholders. There are a number of company secretarial tasks which can trap the unwary, in particular maintenance of statutory registers, annual returns, AGMs, share transfers and dividends.
