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Promoters are the investors in the company. They are the owners of the company and have the right in profits of company. Promoters hold the shares of a company. Anyone can be a promoter of the company, its not necessary that a promoter is a directors.
Directors are the managers of company who manage the day to day operations of the company. It is not necessary that the directors are the promoters of the company.
But the basic conditions are there should be 2 promoters and directors in any Private Limited Company.
For example in ABC Private Limited
Case 1
Directors can be- Mr A and Mr B
Promoters can be- Mr A and Mr B
Case 2
Directors can be – Mr A and Mr B
Promoter can be – Mr C and Mr D
Case 3
Directors can be – Mr A and Mr B
Promoters can be – Mr B and Mr C
About Rohit Lohade
Rohit Lohade is a Chartered Accountant with 15+ years of experience. He has assisted more than 300 Gobal Companies with India Entry Strategy