Dos and Don'ts for Company Directors
It is essential that those leading business in Ireland fully understand the responsibilities of their role. Now more than ever, company directors throughout all facets of Irish business must act with integrity and adhere to the highest professional standards.
Below is a useful dos and don’ts checklist for company directors:
Key things that a director must do:
- Act in the best interest of the success of the company.
- Act honestly, act diligently, keep good records of how the company is directed and controlled.
- Take good advice.
- Keep knowledge up-to-date.
- Show leadership and discharge directors’ duties.
- Disclose conflicts of interest.
- Ensure a culture of good communications.
- Make sound judgements.
- Attend board meetings.
Key things that a director must not do:
- Never act in anyone’s interests other than the company’s interest.
- Never act dishonestly or recklessly.
- Never be involved in wrongful or fraudulent trading.
- Never take bribes/personal gain.
- Never withhold information that is relevant to the board’s decisions.
- Never break the law.
- Never make assumptions/fail to challenge.
- Never allow the company to trade whilst insolvent.
- Never act for competitors.
There is a wide range of duties and responsibilities attached to the role of the director and it is therefore crucial that those who enter into a career as a director do so with their eyes wide open.
Whether you are a director of a small business or a large corporation, you need to understand what is expected of you so as to ensure that your business performs to the highest standard.
If you are serious about your role as a company director and want to learn more about your role and responsilbities, then you need to join the Institute of Directors in Ireland.
To join today call 01 411 0010 or click here for an application form.
