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Alex J.
Alex J., Solicitor
Category: Law
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Experience:  Solicitors 2 years plus PQE
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Good Morning Can you please advise me if there is a difference

Resolved Question:

Good Morning
Can you please advise me if there is a difference between the following titles
Director of Finance
Finance Director
I have been advised that one of the titles is not applicable to board members?
Submitted: 2 years ago.
Category: Law
Expert:  Alex J. replied 2 years ago.
Hi,
Thank you for your question and welcome.
My name is ***** ***** I will assist you.
The only difference between these titles will be whatever difference is attributed to them by the company acting through its shareholders and directors. It will be for the company to determine what the job description is attached to each title.
A company is only obliged to have directors in accordance with the Companies Act 2006. It is then up to the company to determine whether it wants to give directors additional titles such as CEO or Finance director. These titles though really are just terms of art and have no real legal significance, as the Companies Act does not distinguish between different director titles - it only recognises whether someone falls into the three definitions of director being (i) de factor director, (ii) shadow director or (iii) statutory director.
The only additional title that has any statutory significance is "Chairman" - which can be included in the articles of association as the director that "chairs" board meetings.
To answer your questions these titles are only applicable to the extent that the directors (and possibly) shareholders deem them applicable. They are however not essential or legally required.
Kind regards
AJ
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