Tag Archivesdirectors
capacity

Key proposed amendments to the Companies Act

The South African Companies Amendment Bill (“the Bill”) was published on 21 September 2018. This marks the first amendments to the Companies Act No 71 of 2008 (“Companies Act”), since it came into effect. Some of the proposed amendments will soften difficult regulatory requirements and strengthen checks and balances. 1.    Amendments to Memorandum of Incorporation […]

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corporate governance

SME’s and Corporate Governance

Corporate governance is not something that many SME’s concern themselves with. For a long time now, it has been considered an issue for only larger organisations. The King IV code has changed this by making provision for principles that can be applied by SME’s as well. Sound corporate governance leads to healthy organisations and relates […]

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VAT

When must a Non-Executive Director be VAT registered

On 4 May 2017, SARS made a Binding General Ruling (BGR) that deals with the VAT treatment of the activities conducted by Non-Executive Directors (NEDs) and further clarifies whether those activities fall within the ambit of proviso (iii)(aa) or proviso (iii)(bb) to the definition of “enterprise” in section 1(1) of the Value-Added Tax Act 89 […]

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commercial law South Africa

The “Bad Apple” Director ….. How to step back in line or say your goodbyes

Unfortunately, the “bad apple” director is not as fictitious a person as many companies would like to think. Let me clarify… A director who fails to comply with certain standards, or fails to honour certain agreements, has, in my view, deviated from what is reasonably expected and therefore, for purposes of this article, may be […]

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SMMEs

The Business Judgement Rule – what directors need to know

By accepting their appointment to the position, directors imply that they will perform their duties to a certain standard, and it is a reasonable assumption that every director will apply his or her particular skills, experience and intelligence to the advantage of the company. Section 76 of the Companies Act No. 71 of 2008 (“the […]

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