06 July 2024
Certainly! Here’s a draft Board Resolution for approving director salary or remuneration in a Private Limited Company. This template can be adjusted annually as per the company's requirements:
---
**Board Resolution**
**Subject: Approval of Director Salary/Remuneration**
**Date: [Insert Date]**
**Present:** [Name of the Director 1], Chairman [Name of the Director 2] [Name of the Director 3] [Name of the Director 4] [Name of the Director 5]
The Board of Directors of [Company Name], in a meeting held on [Date], resolves as follows:
**Whereas:**
1. [Company Name] (the "Company") is a Private Limited Company incorporated under the provisions of the Companies Act, [Year].
2. The Directors of the Company are entitled to receive remuneration for their services as per the Articles of Association and applicable provisions of the Companies Act, [Year].
3. It is necessary to review and approve the remuneration package for the Directors for the financial year [Year], considering their roles, responsibilities, and market standards.
**Resolved:**
1. The Board approves the remuneration package for the Directors of the Company for the financial year [Year], effective from [Date of Effectiveness].
2. The details of the remuneration package for each Director are as follows: - [Name of Director 1]: [Details of Salary/Remuneration] - [Name of Director 2]: [Details of Salary/Remuneration] - [Name of Director 3]: [Details of Salary/Remuneration] - [Name of Director 4]: [Details of Salary/Remuneration] - [Name of Director 5]: [Details of Salary/Remuneration]
3. The Board authorizes [Name and Title of Authorized Person] to take all necessary actions to implement and effectuate the payment of the approved remuneration package to the Directors.
4. The resolutions passed herein shall be communicated to the Directors and recorded in the minutes of the Board meeting.
**Further Resolved:**
The Board directs the Company Secretary to ensure compliance with all statutory and regulatory requirements related to the dissemination and filing of this resolution.
**Certified True Copy:**
This resolution is certified true and correct as passed at the Board Meeting held on [Date].
For [Company Name]:
[Signature of Chairman/Authorized Director] [Name of Chairman/Authorized Director] [Designation]
---
**Notes:** - Customize the resolution as per the specific remuneration details and roles of the Directors. - Ensure all factual statements are accurate and supported by documented evidence. - Include any additional clauses or directives relevant to your company’s situation and compliance requirements.
This template provides a framework to authorize and document the Board’s approval of director salary or remuneration for a Private Limited Company, which can be updated annually as per the company's policies and financial requirements.
CAclubindia
