Legal Provision
- The Companies Act, 2013 permits an OPC to appoint more than one director.
- Although only one member is allowed, there is no restriction on the number of directors (within limits).
- An OPC must have at least one director, who may also be the sole member.
- The law allows for a maximum of 15 directors without requiring any special resolution.
- More than 15 can be appointed only by passing a special resolution, if needed.
Appointment Flexibility
- The sole member can appoint additional directors to support business functions.
- Directors can be appointed at the time of incorporation or later through formal resolutions.
- These directors can take on operational, financial, or strategic responsibilities.
- The appointment must be supported by documentation such as consent (Form DIR-2) and DIN.
- All appointments must be notified to the Registrar of Companies (RoC).
Role and Responsibility
- Additional directors share management duties and statutory obligations with the primary director.
- They may be involved in day-to-day decisions, signing authority, or external representation.
- Each director has fiduciary responsibilities under the Companies Act.
- Directors are required to act in good faith and the best interest of the company.
- All directors must ensure compliance with legal, tax, and governance requirements.
Compliance and Reporting
- All directors must obtain a Director Identification Number (DIN) before appointment.
- Their details must be recorded in the company’s statutory registers.
- Changes in directorship must be reported to the RoC using Form DIR-12.
- Directors may be required to sign financial statements, board resolutions, and compliance forms.
- The OPC must maintain proper records of board meetings and decisions when more than one director is involved.
Advantages of Having Multiple Directors
- Additional directors bring expertise, oversight, and accountability to the business.
- They can assist in scaling operations, managing departments, or handling specific functions.
- It enhances the company’s credibility and structure, especially when dealing with clients or investors.
- Helps distribute workload and ensures continuity in case one director is unavailable.
- Though the ownership remains with one member, directors can professionally manage growth and compliance.
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