What is the Difference between Company Directors, Secretary and Shareholders?
People can often get these roles confused when starting a Company for the first time. Quite simply a shareholder owns all or part of a Company, whereas it is the directors’ & secretary’s responsibility to run the Company.
Company Decision Making
Company decisions are made by resolutions which can be formed both by its shareholders and directors. Whilst directors make decisions in relation to the running of the Company more frequently than shareholders, as Companies are owned by its shareholders they are the final arbiter of decision making within the organisation. As such, certain significant Director’s decisions must be approved by the shareholders of the company before they can be valid.
