Directors are more accountable for their actions than many realise; Kyri Papantoniou, partner at city law firm Fletcher Day, examines directors’ duties.
Corporate governance and directors’ duties may not be on top of the agenda for a startup busy with the daily demands of growing a new business. It may have slipped off radar or it may feel like an additional and irrelevant administrative burden.
You might wonder is it necessary to focus attention on it? Do decisions really need to be made formally at board meetings when the board are generally relaxed and informal in their approach to other matters concerning the business? And is it really necessary to record and minute this process?
The answer is yes. Directors need to be on top of their game when it comes to knowing and applying the law to which they are subject and this article will explore why....