Names on company bank account

A

Annakay

Registered User
Messages
19
Hi,

We run our own management company as the owners of a small complex.

Could anyone tell me, legally, whose name should be on the bank account aside from the treasurer.

Can any owner put their name on it?

Thank you.
 
Please edit your thread title to make it more meaningful. That will help you get a better response.
 
Blackrock1 said:
what do you mean name, as in who can direct and approve payments? thats up to yourselves.
Click to expand...
Yes, there are arguments about an owner who wants to put their name on the bank account in order to check up on payments going out.

I presumed it was just maybe treasurer and secretary who can have access to the account.

Are there any rules about who can access info on the account during the year?
 
Annakay said:
Yes, there are arguments about an owner who wants to put their name on the bank account in order to check up on payments going out.

I presumed it was just maybe treasurer and secretary who can have access to the account.

Are there any rules about who can access info on the account during the year?
Click to expand...
can you not offer to furnish that owner with a copy of the bank statements once a month or a quarter?

it would normally be up to the directors to decide who has access.
 
jpd said:
Invite him to become a director and do some of the work - or is he/she one of those people out to cause trouble for the sake of it?
Click to expand...
He has no intention of helping with anything. He points out the work to be done and expects others to do it.
He has an excuse for everything.... No time to do it, language issues. Etc.
He causes nothing but trouble and arguments.
I just wanted to know if legally he is entitled to put his name on the account, as I know he wants to.
 
Blackrock1 said:
can you not offer to furnish that owner with a copy of the bank statements once a month or a quarter?

it would normally be up to the directors to decide who has access.
Click to expand...
I suppose we could. This has never been done for any other owner before. Everything is discussed at the agm. Expenses etc.
He is a troublemaker, so I just wanted to know if there were rules about who could access the account.
He wouldnt take money from the account but he wants to keep an eye on expenditure, as it happens.
So he can question it and complain, I guess.
 
Annakay said:
I suppose we could. This has never been done for any other owner before. Everything is discussed at the agm. Expenses etc.
He is a troublemaker, so I just wanted to know if there were rules about who could access the account.
He wouldnt take money from the account but he wants to keep an eye on expenditure, as it happens.
So he can question it and complain, I guess.
Click to expand...
ultimately he is a member of the OMC as an owner, i think transparency is fine in this case its not like you have anything to hide, but i wouldnt give him access, just say thats not good from an internal controls perspective, if he wants to change it he can volunteer as a director,
 
I would create spreadsheets, copy of invoice if needed... for him to get the information. This doesn't mean he should have the accounts in his name, that would not be appropriate
 
My understanding is that individual members are not entitled to access the bank a/c or even the statements. The members elect the directors to run the company. This is done at an AGM every year. The board of directors would decide who is entitled to have access to the bank a/c and who is mandated to make payments etc. The bank a/c should be in the name of the company and the address on the statement should ideally be the registered address of the company. Under no circumstances would I allow a member's name or address to appear on the bank statement at all. I wouldn't even entertain queries about individual transactions or anything like that. If an individual member doesn't like the way the company is being run then they can run as a director themselves and/or not vote for the existing directors at the AGM.
 
DB74 said:
My understanding is that individual members are not entitled to access the bank a/c or even the statements. The members elect the directors to run the company. This is done at an AGM every year. The board of directors would decide who is entitled to have access to the bank a/c and who is mandated to make payments etc. The bank a/c should be in the name of the company and the address on the statement should ideally be the registered address of the company. Under no circumstances would I allow a member's name or address to appear on the bank statement at all. I wouldn't even entertain queries about individual transactions or anything like that. If an individual member doesn't like the way the company is being run then they can run as a director themselves and/or not vote for the existing directors at the AGM.
Click to expand...
if its a small complex its probably easier for all concerned to share the info.
 
You can't have micro-management of your accounts by a non-director. Not practical and you are under no obligation to do so
Directors can see the accounts and have to present accounts to all at AGM once a year.
That will have to be good enough for him or else he needs to get himself elected.
 
If his name is on the account he can attempt to withdraw funds. Only directors should be able to do that. For a small scheme you could share statements with owners at the agm, but black out names of owners who make payments. Ok to be able to see a payment was made but not ok for people to know who paid what and when.

It seems a lot though as you would be questioned on every line in it rather than overall costs. It should not matter how many instalments you paid the gardener as long as the total figure is given.

Overall I would say no, no to his name on the account and no to sharing the bank statements. The directors are perfectly entitled to make these decisions they don’t have to be legal or illegal, just director decisions. If he wants that to change he can become a director if he puts himself forward for election.

A reasonable owner would of course scan a statement and see perfectly normal deposits and payments and just hand it back saying it all looks fine but this guy sounds like a p.i.t.a. So I would not bother bringing endless questions on myself.

Best of luck
 
Clamball said:
For a small scheme you could share statements with owners at the agm, but black out names of owners who make payments.
Click to expand...
In a lifetime spent as a member and sometimes officer of countless clubs and voluntary organisations and in my career, I've never seen this done, and I can only assume for very good reason.
 
You must log in or register to reply here.
Back
Top