Can CEO be appointed by a Private Limited company

A Startup Private Limited  Company where there is an angel round of funding and who does not fall under mandatory class of appointment of Key Managerial Personnel can appoint CEO in its Company.

Well, definitely its a welcome step for a Company to appoint a CEO defining the roles and a Private Company can do so by passing a resolution in the Board Meeting.  However, assuming the responsibility given, being a Company which has been invested by the Investors, it is always suggestible to have their consent whether the Shareholders agreement dictate or not.

 

Related Articles

Plain simple English and the art of drafting legislation and agreements

Influenced by the British legal system, the Indian drafting, of legislation or otherwise, is also a product of its time and generally retains the more formal, complex, and sometimes the archaic tone. The Victorian touch is quite evident in many pieces of the legislation. Archaic phrases and peppered with liberal dose of jargons, sentences can be long and convoluted. However, the Plain English campaigners in the UK were somewhat influential in getting the legal profession or at least the draftsmen, to recognise the importance of clear and concise communication in legal documents, and therefore, the use of plain simple English.

Responses