Director's Service Agreement
When you are bringing in (or promoting) a director to your business it is vital to ensure that their terms cover all of their additional rights and obligations as a director of the company, in addition to their rights as an employee. This means that you will have to have to have a Director’s Service Agreement in place.
It is important to ensure that all relevant information is captured in this agreement to protect your business in the event that something goes wrong. It is better therefore, to get the agreement correct right from the start.
Huntley Legal can help you to get your Director Service Agreement in place so you can appoint your new Director with confidence.
What Should A Director Service Agreement Contain?
There are a number of items that should be included in a Director’s Service Agreement. We will go through your requirements and tailor your agreement as necessary, however you should consider the following terms:
- Start date of the agreement – this may be different from their date of employment and both should be included
- Notice period
- Any statutory duties of the director, as listed in Companies Act 2006
- Details of the director’s duties
- Details of any restricted activities outside of the business
- Salary and benefits details
- Expenses policy
- Place of work
- Holiday entitlement
- Sickness pay entitlements
- Confidentiality clauses
- Intellectual property rights
- Details of termination of the agreement
- Restrictive covenants
- Termination, notice and gardening leave details
- Which law the agreement applies (e.g. English, Scottish etc.)
You can see that a Director’s Service Agreement is an important and potentially complex document that should contain all the key terms and information relating to your Director’s appointment. Using a competent and experienced solicitor to draft this for you will ensure your business is protected.
Why Choose Huntley Legal?
At Huntley Legal we know how important it is for you to have your Director’s Service Agreement in place as quickly as possible, particularly if you are promoting from within your business. We can respond to your deadlines and work with you in the timescales you need.
Our experienced team will also take the time to review your business and its needs with you so we can be certain that we implement everything necessary in the agreement. We will provide you with clear advice and we won’t use any legal jargon, only plain language that is easy to digest.
With a number of options open to you regarding fees and payment for our services, Huntley Legal really can provide you with a flexible approach to your business legal needs. Call or email us today to discuss your options further.
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To discuss your legal needs, please call Marie Huntley on 020 3609 8764.
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