RE: Directors Fees?13 Jul 2019 21:28
Uncanny,
It was not a false flag comment 'trying to put a negative seed in our heads'.
I was going through the accounts to try and establish an expected cash burn rate and it is unclear from the accounts the total remuneration of key management is. It seems to make up a large portion of the Admin costs and may be higher than I thought. I had gone looking for the Directors fees (Section 94 below)...
Section 94 of the Articles of Association states that:
There shall be available to be paid out of the funds of the Company to the Directors as fees in each year an aggregate sum not exceeding one hundred thousand pounds (£100,000) as the Board may determine, such sum to be divided among such Directors in such proportions as the Board may decide or, in default of agreement, equally. Any Director holding the office of
director for part of a year shall, unless otherwise agreed, be entitled only to a proportionate part of such fee. The Company may by ordinary resolution increase the amount of the fees payable under this Article. A fee payable pursuant to this Article is distinct from any salary, remuneration or other amount payable to him under any other Article and accrues from day to
day.