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Add/Remove Partner

As per section 260 and section 284 of the Companies Act, 1956, the Articles of Association of a company are the source of authority from where the Board of Directors draws the right to add new directors to the Board or remove existing ones. The Articles of Incorporation must provide for the addition of Directors. The person appointed must be eligible as per the relevant clauses in the Articles of Association and must give his consent to be a director in written form which the company must register with itself.

To appoint a director, the person proposing to become a Director must obtain a digital signature certificate (DSC) and director identification number (DIN). DIN can be obtained for any person who is above the age of 18. The nationality or residency status of the DIN applicant does not matters. Hence, Indian Nationals, Non-Resident Indians and Foreign Nationals can obtain DIN and be appointed as Director of a company in India.

Reason to Change Director:

  • Hire new talent on board
  • Assign operational responsibility without dilution ownership
  • Inability to work by existing directors
  • Number of directors fall under statutory limit

 

Documents required for Addition or Removal of director:

  • Photograph
  • PAN Card
  • Proof of Residence
  • Digital Signature Certificate
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