Maximum Number of Directorships in a company

The maximum number of directorships a person can hold is 20. This is provided under Section 165 of the Companies Act, 2013.

However, there are some exceptions to this rule:

  • A person can hold more than 20 directorships if he/she is a whole-time director or managing director of a company.
  • A person can hold more than 20 directorships if he/she is a director of a holding company and its subsidiaries.
  • A person can hold more than 20 directorships if he/she is a director of a company that is in the process of liquidation.

MCQs on maximum number of directorships

  1. The maximum number of directorships a person can hold is:

Answer: The correct answer is (b). The maximum number of directorships a person can hold is 20.

  1. A person can hold more than 20 directorships if he/she is a:
    • Whole-time director.
    • Managing director.
    • Director of a holding company and its subsidiaries.
    • All of the above.

Answer: The correct answer is (d). A person can hold more than 20 directorships if he/she is a whole-time director, managing director, or director of a holding company and its subsidiaries.

  1. A person who holds more than 20 directorships is said to be a:
    • Multiple director.
    • Super director.
    • Mega director.
    • None of the above.

Answer: The correct answer is (a). A person who holds more than 20 directorships is said to be a multiple director.