A director has overall responsibility for the corporation. Collectively, the directors are called the Board of Directors.
A director is appointed by the shareholder(s) of the corporation.
A director must:
be at least 18 years old,
not have been declared mentally incapable by a court in Canada or in another country,
be an individual (a corporation cannot be a director), and
not be bankrupt.
For Federal Incorporations, 25% of the directors of your company must be "Resident Canadian". Provincial incorporations for Ontario, Alberta and BC do not have this requirement.
'Resident Canadian' means an individual who is
a Canadian citizen who ordinarily lives in Canada, or
a Permanent Resident who ordinarily lives in Canada.
To open an RBC business bank account, the director(s) must attend an in-person appointment at an RBC branch to complete the account opening process.
Directors remain liable for a few things going forward:
Unpaid employee wages [up to six months if certain pre-conditions are met and the company can't pay].
Taxes and remittances [like CPP, EI] owed to the government.
Committing an illegal act or fraud.
Ready to incorporate your business? Get up to $300 back when you incorporate with Ownr and open and RBC business bank account.