Becoming a director of a Bermuda company can be a very rewarding experience and, in addition to potential remunerative benefits, can provide corporate and leadership experience as well as networking opportunities. However, joining a board of directors includes a considerable level of responsibility and commitment. Not only will you need to consider whether you fulfil the criteria to act as a director, you will also need to think carefully about your role as a member of a board of directors and the duties involved in taking on that role.

Bermuda companies act through two separate arms – its shareholders and its board of directors. Shareholders make the financial investment into the company and in return are afforded certain rights of ownership and control which include, but are not limited to, the appointment of directors. To be eligible for appointment as a director of a Bermuda company you must be at least 16 years of age and not be an undischarged bankrupt (unless permitted by the Bermuda court). Provided the Bermuda company fulfils the requirement to have a least one officer that is ordinarily resident in Bermuda, you can be of any nationality and live anywhere in the world. In addition, you do not have to be a shareholder or employee of the company.

In general, the board of directors are appointed to manage the day-to-day affairs of the company; they make operational decisions relating to the overall long term aims and interests of the company and are responsible for ensuring that the company meets all of its applicable statutory requirements. The board of directors are the company’s agents who act in furtherance of the company’s business and exercise certain powers for that purpose (subject to any limitations which may be imposed by the shareholders).

 

Read More

Type

Insight

Locations

Bermuda

Share
Twitter LinkedIn Email Save as PDF
More Publications
1 Sep 2021 |

Changes to rules on Permanent Residency Certificates

The Ministry of Labour has recently issued a policy paper, ‘Securing Permanency for Long-Term Resi...

26 Aug 2021 |

What to remember when an employee leaves

Just as when a new recruit is on-boarded, there are a variety of tasks an employer needs to deal wit...

23 Aug 2021 |

BMA seeks more seamless marketplace with ILS process enhancements

Recent changes made by the Bermuda Monetary Authority (BMA) to improve processes specific for catast...

17 Aug 2021 |

ILS Bermuda Executive Roundtable 2021

Despite the impacts of the Covid-19 pandemic and subsequent restrictions on travel and face-to-face ...

13 Aug 2021 |

A digital asset future: closer than we think

Most of us at some point in our lives have participated in a rewards programme either at our favouri...

26 Jul 2021 |

What not to forget when an employee leaves

There are many practical and ‘housekeeping’ matters that employers need to deal with when an emp...

Contributors: Jordan Knight
23 Jul 2021 |

Contributed surplus: it’s not capital!

Last week, in part one, we discussed the meaning of share premium, the various ways a company may us...

16 Jul 2021 |

Share premium: do you have it?

When the issuance of shares by a company is discussed, the first thought that comes to mind is the s...

2 Jul 2021 |

No question you’ll see more life reinsurers in Bermuda

While the emergence of property and casualty (P&C) startups in Bermuda is likely to be muted in ...

2 Jul 2021 |

Bermuda: An introduction to Dispute Resolution

This edition discusses Current Economic Conditions and Dispute Resolution Activity, Trends & Dev...

Contributors: Jordan Knight