Appointment of Director / Add a Director

Every company functions and grows well if they have visionary directors. Any company registered under the Companies Act, 1961, has a single or multiple directors based on their company type. Shareholders have the right to elect first director of company who is living person.

Board of Directors can appoint every director as per section 161 of the Companies Act, 2013. Section 152 of the Companies Act, 2013 also allows appointing a new director by passing a resolution in a general meeting. Digital signature certificate (DSC) and director identification number (DIN) must be obtained by a person proposing to appoint as a director. If proposal of appointment is rejected in general meeting of board of directors then appointment of new director is terminated. Thus a new director cannot be appointed until majority of members approve the resolution.

Appointment of director is irrespective of the nationality of person, thus any person of Indian National or Non-resident Indian or Foreign National is eligible to be appointed as director.

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