Process to Become a Non-Executive Director in a Company
A Non-Executive Director (NED) plays a crucial role in corporate governance by providing strategic direction and oversight without being involved in daily operations. At IConnect, we simplify the process of becoming a Non-Executive Director, ensuring a seamless and compliant appointment.
Step-by-Step Process:
1️⃣ Check Eligibility – The candidate must have relevant industry experience, leadership skills, and must not be disqualified under the Companies Act, 2013.
2️⃣ Obtain Director Identification Number (DIN) – Apply through Form DIR-3 on the MCA portal with identity and address proof. The DIN is a unique number required for all directors.
3️⃣ Get a Digital Signature Certificate (DSC) – A DSC is mandatory for signing official documents electronically. This can be obtained through a registered certifying authority in India.
4️⃣ Provide Consent (Form DIR-2) – The individual must submit a written consent to the company, which then files Form DIR-12 with the MCA to record the appointment.
5️⃣ Company Appointment – The Board of Directors passes a resolution approving the appointment, which is then confirmed in the next general meeting of shareholders.
6️⃣ Update with the Registrar of Companies (ROC) – The company must officially update the Registrar of Companies (ROC) about the appointment.
7️⃣ Compliance & Responsibilities – As a Non-Executive Director, the individual must adhere to corporate governance norms, ensure compliance with laws, and contribute to strategic decision-making.
At IConnect, we assist professionals and businesses with Non-Executive Director registration, compliance, and governance. Connect with us for a hassle-free process and expert guidance!