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What is the difference between a shareholder and a director ?

April 26, 2017difference director shareholder

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What is the difference between a shareholder and a director ?

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The shareholder(s) is/are the person(s) who own(s) the company, through a share certificate. A company can be owned by 1 or many shareholders. The shareholder can be an individual or a company. The director(s) is/are the person(s) responsible for determining the policy of the company, and therefore signing any business contracts, account opening forms etc. Directors are usually elected by the shareholders, but sometimes are appointed by resolution. A company can have one or many directors. The director can be an individual or a company.