Change of Director (Head) of an LLC

Appointment and dismissal of the director

In the course of its functioning, any legal entity may face the need to change the head, most often in the event of a change in the owners of the enterprise. Of course, there may also be the usual grounds for dismissal - the director's own desire or improper performance, etc. The head of the company is the same employee as everyone else, therefore, according to labor law, on the day of his dismissal, he must be given a completed work book, make a calculation and etc.

Since the director's personal data is entered into almost all documents of title of a legal entity, in the event of such a change, you will have to face the procedure for their re-registration. Also, the data about the director is entered by the state registrar when registering the enterprise in the USRPOU, and they are publicly available on the website. Although the registering authority is obliged to inform the Ministry of Revenue about any changes, it is worth asking whether the tax authorities were notified.

After the general meeting of members of the LLC decides to remove the director from office, the manager must approve the order of dismissal, which indicates the details of the minutes of the meeting or the director's statement of dismissal, as well as the clause of the contract or links to the required article of the Labor Code. These documents are signed either by the general director himself or by a person authorized by the owner of the enterprise.

The legislation provides for the grounds when enterprises are required to agree on a change in the composition of founders or a change in the CEO, for example, if the participants in such a change must turnover for the past year at least 12 million euros, plus some other criteria.

Documents for changing the director of the enterprise:

• application for state registration of changes to the information about the legal entity in the Unified State Register;
• original or notarised copy of the participants' resolution on dismissal and appointment of the director;
• proof of payment of the administrative fee (0.3 of the subsistence minimum for able-bodied persons; 75% of that amount when filing electronically);
• ID of the applicant or a power of attorney for the representative (Article 14, Part 4 of Article 17 and Article 36 of Law No. 755-IV).

Contact the specialists of our company to get full legal support for the procedure for re-registration of title documents and all the necessary consultations about when the new director will become authorized. It remains to express the hope that under the new head your company will find new ways of worthy development and increase its achievements, strengthening its position in the market.

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