If your companyA private company limited by shares incorporated and registered in England and Wales. has the model articlesThe standard, default articles of association that a company can use. Articles set the rules that company officers must follow when running the company., only the shareholdersIn relation to a company limited by shares, means persons whose names have been entered in the register of members of that company as shareholders in that company. have the power to remove a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. from office by passing an ordinary resolutionA decision made by shareholders of a company, which requires the approval of shareholder(s) holding a majority (eg more than 50%) of the company's voting shares. at a general meetingA meeting of the company's shareholders or members.. A directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. cannot be removed by the shareholdersIn relation to a company limited by shares, means persons whose names have been entered in the register of members of that company as shareholders in that company. passing a written resolutionA procedure allowing private companies to pass a members' resolution without having to hold a general meeting. Copies of the resolution are circulated to each member in hard copy or electronic form, for the members to consider and return their agreement to the resolution if they so decide.; this is because the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. whose removal is being proposed has the right to object to removal at the general meetingA meeting of the company's shareholders or members..

The process a companyA private company limited by shares incorporated and registered in England and Wales. with model articlesThe standard, default articles of association that a company can use. Articles set the rules that company officers must follow when running the company. should follow in order to remove a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. from office is set out below. If your companyA private company limited by shares incorporated and registered in England and Wales. has modified or bespoke articlesAlso referred to as articles of association, a company’s articles are the main body of rules which govern how the company regulates its internal affairs (subject to certain overriding legal requirements). Important matters addressed in the articles include the division of powers between directors and shareholders, the composition and operation of the board of directors, matters relating to the holding and conduct of directors’ and shareholders’ meetings, and provisions relating to the transfer of shares., there may be slightly different rules about the removal method, so you should check for this. You should also check any shareholders' agreementAn agreement entered into between the shareholders of a company which regulates the relationship between the shareholders and governs how the company is run..

Note that there are risks to forcing a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. to step down, particularly if they are an employeeAn individual hired personally to work under a contract of employment, usually in exchange for payment. Employees are normally fully integrated into the business and the employer exercises a large degree of control over their work.; see Q&A 5. A negotiated settlement is often the best option where feasible (see Q&A 7).

The process is:

1. ShareholdersIn relation to a company limited by shares, means persons whose names have been entered in the register of members of that company as shareholders in that company. to notify the board

   One or more shareholdersIn relation to a company limited by shares, means persons whose names have been entered in the register of members of that company as shareholders in that company., who between them must hold at least 5% of the companyA private company limited by shares incorporated and registered in England and Wales. 's sharesShares in the capital of a company (sometimes also referred to as stock, for example in relation to US companies). Shares in a company give to the holders, known as shareholders, rights in relation to that company such as to vote, to receive dividends and to a return of capital. Holders of shares in a company own that company and the company, not its shareholders, owns the company's assets. , must notify the board A collective name for the directors of a company. The board is usually the primary day-to-day decision-making body of a company.that they wish to convene a general meetingA meeting of the company's shareholders or members. to propose the removal of a particular directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. from office.

   Upon receipt of the notice from the shareholderIn relation to a company limited by shares, means a person whose name has been entered in the register of members of that company as a shareholder in that company.(s), the directorsThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. must send a copy of it to the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. concerned and explain that the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. has the right to object to their removal if they wish to do so; this includes the option of circulating a written statement (see Q&A 4 for further information about the steps the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. can take).

2. Board A collective name for the directors of a company. The board is usually the primary day-to-day decision-making body of a company.to pass a board resolutionA decision made by the directors at a board meeting or in writing.

   Next, the board A collective name for the directors of a company. The board is usually the primary day-to-day decision-making body of a company.needs to pass a board resolutionA decision made by the directors at a board meeting or in writing. in order to call the necessary general meetingA meeting of the company's shareholders or members.. This will typically be passed at a board meetingA meeting of a company's directors., where at least two directorsThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. must be present. Alternatively, the board resolutionA decision made by the directors at a board meeting or in writing. calling a general meetingA meeting of the company's shareholders or members. can be passed as a written board resolutionA decision of a company's directors, taken by all directors unanimously indicating their agreement in writing to the decision or resolution in question. Most commonly, this is achieved by the circulation and signing of a hard-copy written resolution., but such a resolutionA formal decision made by the directors or members of a company, which binds the company once it is passed. will only be passed once signed by all directorsThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. (including the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. whose removal is being proposed) which may not be feasible.

   The board resolutionA decision made by the directors at a board meeting or in writing. must be passed within 21 days of receiving notice from the shareholderIn relation to a company limited by shares, means a person whose name has been entered in the register of members of that company as a shareholder in that company.(s) about the proposed removal. If the directorsThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. fail to call a general meetingA meeting of the company's shareholders or members. within this 21 day period, the shareholdersIn relation to a company limited by shares, means persons whose names have been entered in the register of members of that company as shareholders in that company. are able to bypass the board A collective name for the directors of a company. The board is usually the primary day-to-day decision-making body of a company.and convene a general meetingA meeting of the company's shareholders or members. at the companyA private company limited by shares incorporated and registered in England and Wales. 's expense.

3. Notice of general meetingA meeting of the company's shareholders or members.

   There are strict rules about the window in which the general meetingA meeting of the company's shareholders or members. can take place, which the directorsThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. will have to bear in mind before settling on the date; see Q&A 3 for information.

   Once the date is settled, notice of the general meetingA meeting of the company's shareholders or members. must be sent at the same time to the shareholdersIn relation to a company limited by shares, means persons whose names have been entered in the register of members of that company as shareholders in that company. of the companyA private company limited by shares incorporated and registered in England and Wales. and the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. in question, including details of the proposed resolutionA formal decision made by the directors or members of a company, which binds the company once it is passed. to terminate the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's appointment.

   If the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. you want to remove writes an objection statement, this should be circulated to the shareholdersIn relation to a company limited by shares, means persons whose names have been entered in the register of members of that company as shareholders in that company. along with the notice. If you get this after the notice has gone out but before the date of the meeting, make sure it is sent to all shareholdersIn relation to a company limited by shares, means persons whose names have been entered in the register of members of that company as shareholders in that company. in advance of the meeting (see Q&A 4 for information about how a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. can object to being removed).

4. General meetingA meeting of the company's shareholders or members.

   The general meetingA meeting of the company's shareholders or members. must be convened on the date set out in the notice and the proposed resolutionA formal decision made by the directors or members of a company, which binds the company once it is passed. to remove the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. voted on. If the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. in question opts to be heard at such meeting, or to have a written statement read to the general meetingA meeting of the company's shareholders or members., this should take place before any vote; see Q&A 4 for further information about the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's right to object.

If the ordinary resolutionA decision made by shareholders of a company, which requires the approval of shareholder(s) holding a majority (eg more than 50%) of the company's voting shares. to remove the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. is passed, and the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. is removed from office, see Q&A 18 for what you need to file at Companies HouseThe registrar of all companies in the UK. Companies House incorporates and dissolves limited companies, registers the information companies are legally required to supply, and makes that information available to the public. and Q&A 19 for companyA private company limited by shares incorporated and registered in England and Wales. records you need to update.

The general meetingA meeting of the company's shareholders or members. cannot take place until at least 28 days after the date that the original notice triggering the process was sent by the shareholderIn relation to a company limited by shares, means a person whose name has been entered in the register of members of that company as a shareholder in that company.(s) to the companyA private company limited by shares incorporated and registered in England and Wales. and must take place at least 14 days but not more than 28 days after the date notice of the general meetingA meeting of the company's shareholders or members. is circulated to the shareholdersIn relation to a company limited by shares, means persons whose names have been entered in the register of members of that company as shareholders in that company.. See Q&A 2 for more information about sending these notices.

Example: the directorsThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. receive notice from the shareholderIn relation to a company limited by shares, means a person whose name has been entered in the register of members of that company as a shareholder in that company.(s) on 25 June, convene a board meetingA meeting of a company's directors. on 3 July and circulate notice of the general meetingA meeting of the company's shareholders or members. to the shareholdersIn relation to a company limited by shares, means persons whose names have been entered in the register of members of that company as shareholders in that company. on the same day. Here, the date of the general meetingA meeting of the company's shareholders or members. must be after 23 July (ie at least 28 days after 25 June) but also no later than 31 July (ie within 28 days of 3 July).

Yes, a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. whose removal from office is proposed can object to the removal by doing one or both of the following:

1. speak at the general meetingA meeting of the company's shareholders or members. where the removal is being discussed to explain their objections; and/or

2. make a written statement, of a reasonable length, setting out objections and ask that the shareholdersIn relation to a company limited by shares, means persons whose names have been entered in the register of members of that company as shareholders in that company. be notified of it. Where possible, this statement should be circulated to shareholdersIn relation to a company limited by shares, means persons whose names have been entered in the register of members of that company as shareholders in that company. in advance of the meeting; but otherwise, the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. can ask for it to be read out loud at the meeting instead.

If your companyA private company limited by shares incorporated and registered in England and Wales. has bespoke articles of association The main rules on how a company is run. The articles include rules on the division of powers between directors and shareholders, the composition and operation of the board of directors and how directors’ and shareholders’ meetings are held.or a shareholders' agreementAn agreement entered into between the shareholders of a company which regulates the relationship between the shareholders and governs how the company is run., you should check these to see whether they contain any additional rights which might protect the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. from being removed from office, especially if the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. is also a shareholderIn relation to a company limited by shares, means a person whose name has been entered in the register of members of that company as a shareholder in that company.. The model articlesThe standard, default articles of association that a company can use. Articles set the rules that company officers must follow when running the company. do not contain any additional rights.

In practice, to avoid matters becoming contentious and complex, you should seriously consider instead a negotiated settlement to deal with stepping down as directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. and also terminate any employment, deal with any sharesShares in the capital of a company (sometimes also referred to as stock, for example in relation to US companies). Shares in a company give to the holders, known as shareholders, rights in relation to that company such as to vote, to receive dividends and to a return of capital. Holders of shares in a company own that company and the company, not its shareholders, owns the company's assets. held, waiveTo give up or abandon a legal right. any potential claims, and settle any outstanding payments. For further guidance, see Q&A 7.

Yes, but bear in mind that if you want to terminate their employment as well as their directorship (as is likely) you need to take care, because employeesIndividuals hired personally to work under contracts of employment, usually in exchange for payment. Employees are normally fully integrated into the business and the employer exercises a large degree of control over their work. have specific legal rights.

Particular things to look out for are as follows:

1. Check what their service agreementIn the context of a company, an agreement between a director or senior manager and the company, outlining the particulars of the services to be provided by the director or manager to the company and what he will receive in return. A director of a company who is also an employee is referred to as an executive director. says about termination. The directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. could bring a legal claim against you if, for example, you remove them before expiry of the term set out in their contract, or if you fail to pay them for their notice period(1) The length of time in advance which a notice must be given before it can take effect (2) The requirement to inform employees that they are being dismissed a certain amount of time in advance of their last day of employment. .

2. The service agreementIn the context of a company, an agreement between a director or senior manager and the company, outlining the particulars of the services to be provided by the director or manager to the company and what he will receive in return. A director of a company who is also an employee is referred to as an executive director. may contain restrictive covenantsContractual terms which place restrictions on someone. For example, a term in an employment contract or shareholders' agreement preventing a former employee or shareholder from competing or taking clients or staff with him to another business. In property, it could be a term in a tenancy agreement limiting what sort of business can be run from the premises. that aimAlternative Investment Market, a sub-market on the London Stock Exchange for growing companies to prevent the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. from working with certain competitors, setting up in competition with you, or poaching your clients or staffAnybody who works for a business, whether as an employee, casual worker, apprentice, agency worker or freelancer. after leaving your companyA private company limited by shares incorporated and registered in England and Wales. . If you breachA violation of a legal or moral obligation. the contract (for example by dismissing the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. without giving the agreed notice or payment in lieu of it), the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. may be entitled to ignore the restrictions.

3. All employeesIndividuals hired personally to work under contracts of employment, usually in exchange for payment. Employees are normally fully integrated into the business and the employer exercises a large degree of control over their work. have certain employment rights, including the ability to bring a claim for unfair dismissalWhen an employee is dismissed without good reason or without following the proper procedure. Tribunal awards for unfair dismissal are up to one year's gross pay, currently capped at £93,878. (provided they have at least two years' service) if they are dismissed unlawfully from employment without a fair reason, or without having followed a fair process.

4. You must always be careful if your reasons for removing a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. from post are connected to a protected characteristicAge, disability, gender reassignment, marriage and civil partnership, pregnancy and maternity, race, religion or belief, sex or sexual orientation. ; you could face a claim for discriminationTreating someone differently directly or indirectly because of their age, disability, gender reassignment, marriage or civil partnership status, being pregnant and/or being on maternity leave, race, religion or belief, sex or sexual orientation. if you do.

In practice, to avoid these potential complications, executive directorsThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. are therefore often removed by agreeing to a negotiated settlement; see Q&A 7 for guidance.

For guidance on the process for forcibly removing a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. from post, see Q&A 2.

For guidance on terminating an employment contract, see Staff dismissals and redundancy.

A non-executive directorTypically a person appointed to the board of directors who only has a supervisory role in relation to the company and would not be expected to be involved in the day-to-day management of the company. is usually more straightforward to remove than an executive directorTypically a person on the board of directors who is engaged by a company on a full-time basis and is involved in the day-to-day management of the company. in that the removal will not usually be as disruptive to a business dayAny day except Saturday, Sunday, a bank holiday, Good Friday or Christmas day.-to-day.

However, you must still bear in mind the terms of a non-executive directorTypically a person appointed to the board of directors who only has a supervisory role in relation to the company and would not be expected to be involved in the day-to-day management of the company.'s letter of appointmentA letter confirming the appointment of an individual to an agreed position, outlining the terms of the appointment and what the individual will receive in return. In the context of a company, a letter of appointment will contain the terms on which a director who is not an employee (also referred to as a non-executive director) is appointed to the board., such as any notice period(1) The length of time in advance which a notice must be given before it can take effect (2) The requirement to inform employees that they are being dismissed a certain amount of time in advance of their last day of employment. , and if possible you should come to an arrangement so that they resign their directorship voluntarily rather than having to forcibly remove them.

You must be careful if your reasons for removing the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. from post are connected to a protected characteristicAge, disability, gender reassignment, marriage and civil partnership, pregnancy and maternity, race, religion or belief, sex or sexual orientation. , as you could face a claim for discriminationTreating someone differently directly or indirectly because of their age, disability, gender reassignment, marriage or civil partnership status, being pregnant and/or being on maternity leave, race, religion or belief, sex or sexual orientation. if you do.

In the unlikely event that you cannot reach an agreement with a non-executive directorTypically a person appointed to the board of directors who only has a supervisory role in relation to the company and would not be expected to be involved in the day-to-day management of the company. and need to forcibly remove them from their position, see Q&A 2 for information about the process you must follow.

Yes, and this is a common approach.

Agreeing a negotiated settlement should help to minimise disruption to your business, protect your interests, and has the greatest potential to preserve a relationship with the former directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. (where that is desirable). The downside is that reaching a negotiated settlement is likely to involve a substantial financial outlay, both in terms of compensation for the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. and the associated legal fees, albeit this outlay is intended to save you money in legal fees in the long run.

The process for agreeing a settlement will depend entirely on the circumstances in which the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. is being removed, and the terms of any existing service agreementIn the context of a company, an agreement between a director or senior manager and the company, outlining the particulars of the services to be provided by the director or manager to the company and what he will receive in return. A director of a company who is also an employee is referred to as an executive director. you have with the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. in question. For this reason, you should take legal advice to ensure that any settlement is valid and binding and is as favourable as possible for your companyA private company limited by shares incorporated and registered in England and Wales. . For access to a specialist lawyer in a few simple steps, you can use our Ask a Lawyer service.

If the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. being removed is an employeeAn individual hired personally to work under a contract of employment, usually in exchange for payment. Employees are normally fully integrated into the business and the employer exercises a large degree of control over their work. of the companyA private company limited by shares incorporated and registered in England and Wales. , there are particular rules about the settlement agreementAn agreement recording the fact that the parties in a legal dispute (or potential legal dispute) have resolved the issue between them. Particularly common in employment disputes.:

1. it must be in writing and must relate to particular claims;

2. the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. being removed must have taken advice from a qualified lawyer or other appropriate legal adviser on the agreement, and on the fact that it will require the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. to waiveTo give up or abandon a legal right. their rights to make subsequent claims against your companyA private company limited by shares incorporated and registered in England and Wales. ;

3. the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's legal adviser must be named in the agreement and must have insurance that would cover the risk of the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. bringing a claim against them.

As the legal adviser will charge a fee to advise the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. on the agreement, employersA people or businesses hiring one or more staff members. normally make a contribution to cover the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's reasonable legal fees. For a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. , these fees tend to be higher than for a regular employeeAn individual hired personally to work under a contract of employment, usually in exchange for payment. Employees are normally fully integrated into the business and the employer exercises a large degree of control over their work. and can be part of a negotiated settlement.

A negotiated settlement agreementAn agreement recording the fact that the parties in a legal dispute (or potential legal dispute) have resolved the issue between them. Particularly common in employment disputes. with an executive directorTypically a person on the board of directors who is engaged by a company on a full-time basis and is involved in the day-to-day management of the company. whom you wish to remove will usually include terms dealing with:

1. their resignation as a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. ;

2. termination of their employment with your companyA private company limited by shares incorporated and registered in England and Wales. ;

3. transfer of any sharesShares in the capital of a company (sometimes also referred to as stock, for example in relation to US companies). Shares in a company give to the holders, known as shareholders, rights in relation to that company such as to vote, to receive dividends and to a return of capital. Holders of shares in a company own that company and the company, not its shareholders, owns the company's assets. they hold;

4. settlement of any potential claims and outstanding payments.

This depends.

Being convicted of a criminal offence does not necessarily mean that a person is automatically banned from being a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. , but the court can disqualify them from acting as one if convicted of an offence connected to the running of a companyA private company limited by shares incorporated and registered in England and Wales. or if it finds them to be unfit to manage a companyA private company limited by shares incorporated and registered in England and Wales. , which it may do if convicted of an offence involving dishonesty, for example.

Your companyA private company limited by shares incorporated and registered in England and Wales. 's articles of association The main rules on how a company is run. The articles include rules on the division of powers between directors and shareholders, the composition and operation of the board of directors and how directors’ and shareholders’ meetings are held.should set out what happens in these situations. Under the model articlesThe standard, default articles of association that a company can use. Articles set the rules that company officers must follow when running the company., the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's appointment will automatically terminate if prohibited from acting as a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. by a court. If you have bespoke articlesAlso referred to as articles of association, a company’s articles are the main body of rules which govern how the company regulates its internal affairs (subject to certain overriding legal requirements). Important matters addressed in the articles include the division of powers between directors and shareholders, the composition and operation of the board of directors, matters relating to the holding and conduct of directors’ and shareholders’ meetings, and provisions relating to the transfer of shares. and they do not provide for automatic termination, you may need to prompt the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. to resign (see Q&A 14) or even remove them from post if necessary (see Q&A 2).

In other situations, it is up to you how you handle the matter and this will depend upon the specific circumstances and what sort of crime the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. has been charged with or convicted of. A directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. who is also an employeeAn individual hired personally to work under a contract of employment, usually in exchange for payment. Employees are normally fully integrated into the business and the employer exercises a large degree of control over their work. has additional rights and so should be handled with particular care. See Q&A 10 for guidance.

If the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. is an employeeAn individual hired personally to work under a contract of employment, usually in exchange for payment. Employees are normally fully integrated into the business and the employer exercises a large degree of control over their work., you will need to consider whether terminating their appointment is fair and appropriate in light of their charge or conviction. This is particularly important if the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. has been continuously employedHow long a person has been employed without a break lasting at least a week. Time off work whilst still employed (eg annual leave, sick leave etc) does not count as a break. by your companyA private company limited by shares incorporated and registered in England and Wales. for two or more years, as they have the right not be unfairly dismissedWhen an employee is dismissed without good reason or without following the proper procedure..

Bear in mind the following:

1. A directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's service agreementIn the context of a company, an agreement between a director or senior manager and the company, outlining the particulars of the services to be provided by the director or manager to the company and what he will receive in return. A director of a company who is also an employee is referred to as an executive director., letter of appointmentA letter confirming the appointment of an individual to an agreed position, outlining the terms of the appointment and what the individual will receive in return. In the context of a company, a letter of appointment will contain the terms on which a director who is not an employee (also referred to as a non-executive director) is appointed to the board. and/or any separate shareholders' agreementAn agreement entered into between the shareholders of a company which regulates the relationship between the shareholders and governs how the company is run. may contain provisions about how to deal with a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. if charged or convicted of a criminal offence, so you should check these as a first step.

2. Before deciding to take any action, you should always ensure that you have carried out an investigation to establish the facts and it may be appropriate to suspend the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. during this period.

3. Consider whether the offence in question will result in the person being disqualified from acting as a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. by a court; see Q&A 9.

4. If it won't result in automatic disqualification, consider whether the offence has any bearing on the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's work. This will depend on the nature of their role; for example, it is unlikely to be fair to remove a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. charged with a driving offence, unless driving is an essential aspect of their role and no alternative arrangements can be put in place. Offences relating to violence and dishonesty are likely to affect most positions and justify removal.

5. The action you take is not necessarily influenced by the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's guilt in committing the offence. Indeed, if they have only been charged with the offence then you will not know if they are guilty of committing it or not until a trial has taken place. It may or may not be appropriate to avoid taking any final action until after a trial, but the course you take should be reasonable based on the facts that you know after following a thorough disciplinary procedure.

If in any doubt, you should obtain separate legal advice. For access to a specialist lawyer in a few simple steps, you can use our Ask a Lawyer service.

Yes, potentially.

First, you should check your companyA private company limited by shares incorporated and registered in England and Wales. 's articlesAlso referred to as articles of association, a company’s articles are the main body of rules which govern how the company regulates its internal affairs (subject to certain overriding legal requirements). Important matters addressed in the articles include the division of powers between directors and shareholders, the composition and operation of the board of directors, matters relating to the holding and conduct of directors’ and shareholders’ meetings, and provisions relating to the transfer of shares. of association, the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's service agreementIn the context of a company, an agreement between a director or senior manager and the company, outlining the particulars of the services to be provided by the director or manager to the company and what he will receive in return. A director of a company who is also an employee is referred to as an executive director. or letter of appointmentA letter confirming the appointment of an individual to an agreed position, outlining the terms of the appointment and what the individual will receive in return. In the context of a company, a letter of appointment will contain the terms on which a director who is not an employee (also referred to as a non-executive director) is appointed to the board. and/or any separate shareholderIn relation to a company limited by shares, means a person whose name has been entered in the register of members of that company as a shareholder in that company. agreement your companyA private company limited by shares incorporated and registered in England and Wales. has, as these may contain provisions about what to do.

If your companyA private company limited by shares incorporated and registered in England and Wales. has the model articlesThe standard, default articles of association that a company can use. Articles set the rules that company officers must follow when running the company., these contain a provision about what to do in an extreme case. If a registered medical practitioner who is treating a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. sends written confirmation to the companyA private company limited by shares incorporated and registered in England and Wales. that the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. has become physically or mentally incapable of acting as a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. and may remain so for more than three months, the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's appointment as a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. will automatically terminate.

In practice, your situation may not be this clear cut and may simply follow concerns that the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. is not capable of performing the role because of poor health. Whilst there is a process by which you can force a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. to step down (see Q&A 2), it is likely to be in the best interests of the companyA private company limited by shares incorporated and registered in England and Wales. to attempt to reach a settlement with the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. in question to avoid disputes; see Q&A 7.

Note that you need to take particular care if the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's poor health amounts to a disabilityA physical or mental impairment which has a substantial or long-term effect on a person’s ability to carry out normal day to day activities. (see Q&A 12) or if the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. has permanent health insurance (see Q&A 13).

You have a legal duty to consider what reasonable adjustments you could put in place to help the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. carry out their role. It may not be possible to adapt things, and you are only required to do what is reasonable, but if you force a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. to step down without considering reasonable adjustments, you could be sued for disabilityA physical or mental impairment which has a substantial or long-term effect on a person’s ability to carry out normal day to day activities. discriminationTreating someone differently directly or indirectly because of their age, disability, gender reassignment, marriage or civil partnership status, being pregnant and/or being on maternity leave, race, religion or belief, sex or sexual orientation..

A disabilityA physical or mental impairment which has a substantial or long-term effect on a person’s ability to carry out normal day to day activities. can be anything which has a substantial and long-term effect on the individual’s ability to carry out their day to day activities; some illnesses, including cancer, HIV and MS are disabilities, and mental health issues such as depression can also count as disabilities in some circumstances. You must make your own judgement as to whether the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. is disabledA physical or mental impairment which has a substantial or long-term effect on a person’s ability to carry out normal day to day activities., although you can and should seek the advice of a doctor or other medical professional. See List of common disabilities for further examples.

Examples of adjustments you may consider making are:

1. making alternative arrangements for board meetingsMeetings of a company’s directors.; for example, changing the location to somewhere that is more accessible for the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. ;

2. allowing the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. to change their duties on the board A collective name for the directors of a company. The board is usually the primary day-to-day decision-making body of a company.if their disabilityA physical or mental impairment which has a substantial or long-term effect on a person’s ability to carry out normal day to day activities. means they are unable to continue in the same capacity as before; or

3. making other adjustments, such as reducing working hours.

Yes, but you need to take care when doing so. Permanent health insurance may be dependent on the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. remaining employed by your companyA private company limited by shares incorporated and registered in England and Wales. , so ending the employment may terminate these rights.

In these circumstances, you could face a breach of contractFailing to keep to the terms of a contract by doing something which is forbidden or failing to do something which is required under the contract. claim for the benefits the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. was receiving under the permanent health insurance, which can be significant sums.

As with any termination of a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's appointment, it is likely to be in the best interests of the companyA private company limited by shares incorporated and registered in England and Wales. to attempt to reach a settlement with the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. in question to avoid disputes; see Q&A 7 for further information about this.

The directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. can give notice to resign either orally or in writing, unless there is any particular process set out in the companyA private company limited by shares incorporated and registered in England and Wales. 's articles of association The main rules on how a company is run. The articles include rules on the division of powers between directors and shareholders, the composition and operation of the board of directors and how directors’ and shareholders’ meetings are held.or in a service agreementIn the context of a company, an agreement between a director or senior manager and the company, outlining the particulars of the services to be provided by the director or manager to the company and what he will receive in return. A director of a company who is also an employee is referred to as an executive director. or letter of appointmentA letter confirming the appointment of an individual to an agreed position, outlining the terms of the appointment and what the individual will receive in return. In the context of a company, a letter of appointment will contain the terms on which a director who is not an employee (also referred to as a non-executive director) is appointed to the board., in which case the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. should follow that process unless the companyA private company limited by shares incorporated and registered in England and Wales. agrees otherwise.

There is no particular process set out in the model articlesThe standard, default articles of association that a company can use. Articles set the rules that company officers must follow when running the company.. However, if a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. only provides verbal notice of resignation, it is good practice to request confirmation in writing, so as to avoid any future uncertainty over if and when the resignation happened.

This depends on what their contract with you says, so you should check this first.

If there is no notice period(1) The length of time in advance which a notice must be given before it can take effect (2) The requirement to inform employees that they are being dismissed a certain amount of time in advance of their last day of employment. set out in the contract, then the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. must give you reasonable notice, which depends on the circumstances. Generally, the longer they have been with you and the more senior they are, the longer the notice period(1) The length of time in advance which a notice must be given before it can take effect (2) The requirement to inform employees that they are being dismissed a certain amount of time in advance of their last day of employment. should be.

In practice, it is unusual for a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. who has resigned to actually remain in the business during their notice period(1) The length of time in advance which a notice must be given before it can take effect (2) The requirement to inform employees that they are being dismissed a certain amount of time in advance of their last day of employment. . It is normal for a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. to agree a negotiated settlement following resignation which may involve either the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. being paid in lieu of serving notice, or serving all or part of the notice on garden leaveWhen, during the notice period at the end of employment, a member of staff is kept on full pay and is technically still employed, but does no work, has no access to company property or information, and cannot work for anyone else.. In both cases, the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. would be kept away from the business and should remain subject to any post-termination restrictions contained in their service agreementIn the context of a company, an agreement between a director or senior manager and the company, outlining the particulars of the services to be provided by the director or manager to the company and what he will receive in return. A director of a company who is also an employee is referred to as an executive director..

See Staff resignations and retirement for more information.

Upon receipt of the notice, it is good practice for the directorsThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. to pass a board resolutionA decision made by the directors at a board meeting or in writing. to acknowledge the resignation and deal with the practicalities associated with the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's departure.

For a template copy of the board minutesThe written record of a board meeting. of a meeting to accept a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's resignation, see Board minutes accepting a director's resignation, and for a template written board resolutionA decision of a company's directors, taken by all directors unanimously indicating their agreement in writing to the decision or resolution in question. Most commonly, this is achieved by the circulation and signing of a hard-copy written resolution. to accept a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's resignation (which will still need to be signed by all directorsThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. , including the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. in question), see Written board resolution accepting a director's resignation.

Once a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's post terminates, you must make sure you make the relevant filings at Companies HouseThe registrar of all companies in the UK. Companies House incorporates and dissolves limited companies, registers the information companies are legally required to supply, and makes that information available to the public. (see Q&A 18) and update the relevant statutory registersRegisters that a company is required by law to maintain and keep available for inspection by the public, including a register of members and register of directors. and records (see Q&A 19) to record the fact that their appointment has terminated.

After a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's post terminates, you should update the following registers as soon as possible by removing the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. 's details:

1. register of directorsEvery company must keep a register of its directors, including particular details of each director. Failing to keep a register is an offence. and

2. register of directors' residential addressesA register stating the usual residential address of each of the company's directors, which every company must keep..

If you keep your register of directorsEvery company must keep a register of its directors, including particular details of each director. Failing to keep a register is an offence. at your companyA private company limited by shares incorporated and registered in England and Wales. 's registered officeAn address a company is required to have, which must be in the same UK jurisdiction in which the company is registered, to which communications and notices may be sent. (either in electronic or paper form), you can simply update the relevant register on a computer or by hand. If you keep your register of directorsEvery company must keep a register of its directors, including particular details of each director. Failing to keep a register is an offence. on the Central RegisterIn the company context, a public register of Companies House on which companies can choose to file certain information, such as the company's register of members, directors, secretaries or persons of significant control. run by Companies HouseThe registrar of all companies in the UK. Companies House incorporates and dissolves limited companies, registers the information companies are legally required to supply, and makes that information available to the public., then Companies HouseThe registrar of all companies in the UK. Companies House incorporates and dissolves limited companies, registers the information companies are legally required to supply, and makes that information available to the public. will update the register when you submit the TM01 form notifying it of the termination; see Q&A 18 for further information.

Failing to update your register of directorsEvery company must keep a register of its directors, including particular details of each director. Failing to keep a register is an offence. and register of directors' residential addressesA register stating the usual residential address of each of the company's directors, which every company must keep. after a termination is an offence and can potentially attract a fine for both the companyA private company limited by shares incorporated and registered in England and Wales. and any officersIn a company: A legally defined term used to refer to the directors, company secretary or managers of a company. Officers of a company have certain duties and responsibilities towards the company and can be held liable for company law breaches. who are at fault.

See Keeping a register of directors and Keeping a register of directors' residential addresses for more information about setting up and maintaining these registers. For template registers you can use for your business, see Company registers.

In addition, if the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. in question was also a person with significant controlMost commonly, a person will have significant control over a company if they have more than 25% of the shares or voting rights, or are able to significantly influence or control the company in some way. A person is also a PSC of a company if they have the right to appoint or remove a majority of its board of directors. Finally, a person qualifies if they can significantly influence or control a firm or a trust which itself has one of the rights in this list., you may also need to update your PSC registerThe register of people with significant control that a company is required to keep under the Companies Act 2006. following their departure. In most cases, this will only be relevant if the departing directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. is also a shareholderIn relation to a company limited by shares, means a person whose name has been entered in the register of members of that company as a shareholder in that company., and is transferring their sharesShares in the capital of a company (sometimes also referred to as stock, for example in relation to US companies). Shares in a company give to the holders, known as shareholders, rights in relation to that company such as to vote, to receive dividends and to a return of capital. Holders of shares in a company own that company and the company, not its shareholders, owns the company's assets. when they leave. For further guidance, see How to identify and notify people with significant control of a company (PSCs).

In addition to notifying Companies HouseThe registrar of all companies in the UK. Companies House incorporates and dissolves limited companies, registers the information companies are legally required to supply, and makes that information available to the public. (see Q&A 18) and updating companyA private company limited by shares incorporated and registered in England and Wales. registers (see Q&A 19), there are various practical steps you may need to take after a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. leaves office:

1. Your directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. may be a signatory to your companyA private company limited by shares incorporated and registered in England and Wales. bank account. If this is the case, you may need to notify your bank that they are no longer a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. , and arrange for them to be removed from the account.

2. If the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. has dealt with third parties as a representative of the companyA private company limited by shares incorporated and registered in England and Wales. , you may want to inform them that the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. is no longer your representative, to eliminate the risk that these parties continue to deal with your ex-directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. as though they were still a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. of your companyA private company limited by shares incorporated and registered in England and Wales. .

3. You should ensure that you can access any electronic files and records which were previously dealt with or maintained by the directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. , for example by ensuring you know all the passwords.

See Practical steps to take when a staff member leaves for more general practicalities when a directorThe directors of a company are the individuals who make up the company's board of directors. Directors may be natural persons or companies, but each company must have at least one director who is a natural person. The board is the main decision-making body of the company. leaves.