Signing private company's documents

[John Rando]

Hello. I have some questions about who can sign private limited company's documents and contracts.

Can a shareholder who holds more than a half of the shares sign a document without director's signature?

Can a director authorise one of the shareholders to sign documents? What are the ways to give an authorisation? Online? With a letter?

If there are 2 directors, how many of them have to sign a document?

 

[nelioneil]

Directors are responsible for the day-to-day running of the business and they should be signing off contracts. They might be shareholders too. Shareholders alone should not be signing documents to bind the company.

Only one director needs to sign a contract (on behalf of the board) but the company might have procedures requesting that documents require a second director to sign.

 

[Chris Ashdown]

Only Directors can control a limited company and all that entails

A shareholder is just a person who has invested in the company and has certain voting rights, there is no reason why they cannot sign but the directors of the company are still legally responsible for what happens in the company

If there are two directors or more its up to the boardroom to say who can sign in many cases non directors in a company like the financial manager who may or may not be a director can sign normal payments referring to the day to day operations of the business