Sole director dies

[BrilloPad]

I have deliberately left mrs bp as non director due to the hassle it would cause her.

Let the accountants sort it out.

[mike67]

Check what the company AoA say - the model articles include a provision around this, IIRC.

Having an additional officer of the company now makes the process smoother, but there are mechanisms for the transfer to happen on death. But start with your Articles.

Spot on with the model articles of assocation, which say at 17(2):

"In any case where, as a result of death, the company has no shareholders and no directors, the personal representatives of the last shareholder to have died have the right, by notice in writing, to appoint a person to be a director."

Even if your company has customised articles, this provision is likely to be retained.

If you appoint your wife as a Director, be aware that the quorum for Directors' Meetings is usually two, ie you will have to talk to her before taking decisions on things like dividends. Often the AoA for PSCs has a provision that if there is only a single director, the quorum is reduced to one. Hopefully not a big issue unless you hit problems down the track ...

[mudskipper]

Discussed briefly here

http://forums.contractoruk.com/accou...ml#post2226867

[TheFaQQer]

Check what the company AoA say - the model articles include a provision around this, IIRC.

Having an additional officer of the company now makes the process smoother, but there are mechanisms for the transfer to happen on death. But start with your Articles.

[TheCyclingProgrammer]

it's easy. Until she realises that she will have fiduciary responsibilities and legal obligations

Legally yes, but in practice, as long as you're around does it really matter?

[Lance]

Is this honestly the best, easiest solution? I've considered the question before, too - anything to make the Mrs's life easier

it's easy. Until she realises that she will have fiduciary responsibilities and legal obligations

It's an option but I was wondering what other possibilities there may be.

[northernladuk]

Is this honestly the best, easiest solution? I've considered the question before, too - anything to make the Mrs's life easier

Don't want to make it too easy. Might start to look an attractive proposition ahead of time.......

[TheCyclingProgrammer]

Is this honestly the best, easiest solution? I've considered the question before, too - anything to make the Mrs's life easier

IMO it is. She'll still need help - so make sure you've spoken with your accountant too. Ideally, the situation you want to be left in is that your spouse can let the accountant deal with anything with her signing off anything that needs a Director's sign-off.

[SuperLooper]

Make sure she knows who the accountant is, and how to contact them.

[vwdan]

Make her a director now, sorted.

Is this honestly the best, easiest solution? I've considered the question before, too - anything to make the Mrs's life easier

[TheCyclingProgrammer]

Make her a director now, sorted.

[Lance]

I'm sure this has been asked before but I've not found anything.

I'm in the process of writing a will.
MyCo is owned by me and Mrs. L.
I am the sole director.

If I die I intend for her to get all the assets. But she'll need help closing the company and dealing with the liabilities (tax).
What do others on here do?
The company bank has me as sole signatory so I'm not sure what they'd need. Is it just as simple as a death certificate and proof of ID for the executor?

Cheers,
Lance.