Question about Company Directors

[Rockandrollingaround]

I’m just wondering, if a Company Director has resigned as a Director from a business, does this mean that they are no longer receiving any profits/dividends from the business whatsoever?

I can’t really go into the ins and outs as to why I’m asking, but the ex Company Director is still working for the business on a part time basis, but I’m unsure if they would still be entitled to anything other than wages.

An employee can receive anything their contract entitles them to.

I receive dividends. I’m not a director but I’m a shareholder.

Are they still a shareholder? Dividends are paid to shareholders.

Yes, dividends is about shares.

anyone can have shares in a business without being a director.

I’m a shareholder and not director and get paid a dividend. I could get a salty if it was required.

Company director and shareholder are two different things. Directors can also be shareholders but you can stop being a director and still be a shareholder and therefore still receive dividends.

Similarly being an employee does not automatically mean you do or don’t receive shares. You can be purely an employee and you won’t get dividends but if you are a shareholder and an employee then you will receive both dividends and wages.

I am a shareholder in my husband business but not a director or employee. So I receive a dividend every year but no salary.

Thanks all, yes they’re a shareholder so they’ll receive dividends that way I see.