Removal of Director Startup Hub

Removal of Director

Overview

Each private company should have a least of two directors, whereas a public corporation shall have a least of three directors. a private company can remove a director if he catches any of the incompetence specified under the Act, or Absents himself/herself from board adherence over 12 months. However, it gets excluded by order of a court or Tribunal or is convicted by a court of any crime and sentenced to imprisonment for not less than six months.

Our Process

Step 1

DSC Application

Step 2

Preparation of Documents

Step 3

Signing of Notice

Step 4

File Form DIR 12

Step 5

File Form DIR 11

Choose Your Package

All Inclusive Pricing – No Hidden Fee

Basic
- ₹ 1750
- - Documents Preparation
  - DIR 12/ DIR 11 Filing for One director resignation
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Premium
- ₹ 3750
- - Documents Preparation
  - DIR 12/ DIR 11 Filing for One director resignation
  - Resignation/Removal (with consent)
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Ultimate
- ₹ 4500
- - Documents Preparation
  - DIR 12/ DIR 11 Filing for One director resignation
  - Resignation/Removal (without consent)
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Benefits

Get new talent on board

The business world is extremely competitive which is why it's so important for companies to remain on top of their game in the least times. As businesses grow and evolve, they undergo several upheavals with reference to strategies, policies, and objectives. Therefore, sometimes companies got to get new talent on board to assist formulate new strategies and business plans. Furthermore, as new alliances form between corporations, new talent is required to bridge gaps and make sure the smooth functioning of the organization. As companies expand and venture into new areas, team leaders and experts can move from their managerial position into the role of a director to assist the company stay on track.

The inefficiency of existing directors

The existing directors may or might not be ready to serve the company faithfully, in certain cases. In such circumstances, maybe even thanks to retirement, family problems, other personal reasons, or physical ailments, the company adds new directors to form sure their productivity is unaffected. Hence, from time to time, companies got to process the termination and addition of the latest directors, so as ensure their continued growth and success.

No dilution of ownership

Directors are primarily responsible for the day-to-day operations of a company. Adding or appointing an additional director helps the shareholders assign more operational responsibilities without losing any strategic control. As a Director doesn't subscribe or own any share capital, the ownership and therefore the voting rights that come alongside it, remain with the shareholders, preventing any dilution.

To meet the statutory limit

In certain cases, due to sudden death or plans of retirement from existing Directors, companies come short of the minimum required directors as prescribed by the Companies Act. Therefore, such Private and Public companies got to appoint new directors within 6 months to continue functioning as a legally valid entity.

Documents Required

Photograph: Passport size photo of the Director to be designated

PAN Card: Self-attested PAN card of the Director to be designated

Proof of Residency: Aadhar Card/ Voter ID/ Passport/ Driving License

Digital Signature Certificate: DSC of the ongoing Director and Director to be eliminated/removed

Identity proof before-mentioned as Passport/Election card/Driving License/Aadhar card

Mobile number and Personal & official email id of the Director

Notice of resignation filed with the company

It is mandatory to apostle all the documents apostilled if the Director is a non-resident of India.

Proof of dispatch

Acknowledgment of form, if received.

Clear All Your Doubts !

What is the time permitted for Intimation By Company to all shareholders?

Send notice to its members clear seven days before the meeting, along with a copy of the representation copy.

How much time does it take for the 'removal of director'?

Could be it Possible that the company removes its director without his consent?

Could be it Possible that a director removes a different director?

What is the basic learning before removing a Director of Private Limited Company?

What needs to be done with the shares after ending tenure as a director?

How to assign the shares during the change of director in the Company?

If the Company doesn't reply to ROC Notice, what is the 1st consequence of the same?

What are the consequences of not filing the form DIR-12?

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