Job description of the general director of the company

Who is he, the CEO?

General Director is the head of the production and economic sphere of an organization or enterprise. An important aspect to note is that despite its broad powers, it is not the actual owner of the company, but an employee. The owner of this type of corporation is the board of founders, the meeting of shareholders. The position is characterized by a large and widespread degree of responsibility:

• For the effective use and general safety of the company's property.
• For all the decisions he made and their consequences.
• For the results of the organization, enterprise in the financial and economic aspect.

The main function of the general director is the overall management of the production and economic activities of the company. The position is typical for any large company or joint stock company. Both in Russia and throughout the world, it is one of the most paid, promising and motivating.

Requirements for a specialist

There are corresponding requirements for those holding a high position. Here are the points that a person performing the functions of general director must meet:

• Availability of specialized higher education corresponding to the main activities of the enterprise, company - legal, economic, technical, etc.
• Experience in a leadership position. Typically a minimum of 2 years.
• Experience in the area in which the corporation's main activities relate.
• Excellent knowledge of regulations and legislative acts that are related to the performance of the functions of the General Director.
• Confident knowledge of modern technology products - PCs, instant messengers, email, professional programs, etc.

General provisions of the job description

Let's present the main provisions from the document regulating the activities of the general director:

• The main path of the employee is the management of the economic, production and economic and financial activities of the company.
• In his actions, the general director relies on the legislative acts of the Russian Federation, internal regulatory documentation, the charter of the organization or enterprise, as well as on the employment contract and job description.
• The full responsibility of an official extends to the results of his decisions, the effective use and safety of the company's property, and the economic and financial results of its work.
• Directly reports to the meeting of shareholders and the board of directors.
• During the absence of the general director from his post, his functions are temporarily performed by an employee holding another management position, by order of the company's board.
• In his activities, the official is guided by the following: all-Russian legislative acts, the corporation's charter, internal regulations, internal labor rules, decisions of the board of directors and the general meeting of shareholders, as well as other regulatory rules of the company.

Main sections

Each job description consists of several sections. They have a unique purpose and content.

Table 1. Sections and their descriptions.

The DI is approved by a higher management body represented by the board of directors or shareholders. The director initially studies and then signs the documentation.

Video about who the CEO is:

Functions of the General Director

The content of this section largely depends on the specifics of the company’s activities. But the general, main functions of the general director are as follows:

• Management of financial activities and economic work of the company in accordance with the adopted charter.
• Such an organization of the activities of the entire structure that allows the efficient use of the labor of all its branches.
• Guaranteeing compliance with the law in the functioning of an organization or enterprise.
• Timely and complete implementation of instructions from the founders, board of directors, shareholders (depending on the form of organization of activities).

Working conditions

They are prescribed in the employment contract or instructions. Working conditions are determined on the basis of a certification card, which is formed for each workplace in the company. It is drawn up after an assessment of working conditions.

If a special assessment was not carried out, then the employment agreement states that information will be entered after the assessment. Usually a mark is given about the irregular nature of the work, which is due to the specifics of the position held.

Responsibilities of an official

We continue to examine the functions and responsibilities of the CEO. The latter include the following:

• Management of the company's activities - financial and economic.
• Organizing the work of the entire structure in such a way that each of its “cogs” brings a certain result for the system.
• Responsibility for fulfilling the entire list of the organization’s obligations to creditors.
• Ensuring the preparation of the required reporting forms, as well as the organization of accounting.
• Issuing orders, taking measures to ensure that all property necessary for the company’s activities appears on the company’s balance sheet.
• Ensuring the safety of the property of a corporation or company.
• Issuing orders, taking measures to provide the enterprise and organization with qualified workers and employees.
• Ensuring the interests of the company in legal proceedings.
• Implementation of a set of measures to monitor employees’ compliance with job responsibilities, regulatory documents of the organization, and the necessary all-Russian legislative acts.
• Work to monitor the implementation of decisions of the meeting of shareholders and the board of directors.
• Providing reports, publications and other information on the company’s activities to audit commissions, the board of directors, and shareholders’ meetings.

Functions of the general director of LLC

Let's talk in more detail about the financial and economic head of a limited liability company. The decision to appoint him is the prerogative of the sole participant of the LLC or the general meeting of founders.

When changing officials, the participation of the previous general director is not required. The new official will be an applicant to the Federal Tax Service, where this kind of change is registered.

The functions of the general director here overlap with the general ones - for an enterprise, a joint stock company, a large corporation:

• General management of the structure.
• Representative of the company in its interaction with third parties.
• With his visa he enters into force contracts, accounting reports, and other important documentation.
• The right of first signature of the entire series of payment documents.
• In some cases, it has the sole right to sign bank payment papers.
• At his own discretion, he issues powers of attorney to officials who represent the interests of the LLC entrusted to him in various areas.
• Certifies his signature at the bank where the company's current account is opened.

What debts will you have to pay with personal funds?

The organizer of the company will be liable to the extent of his share in the authorized capital if it is not proven that bankruptcy was caused by his actions. Otherwise, some types of obligations will have to be fulfilled personally. This:

1. Arrears on taxes and insurance payments to the budget. In bankruptcy, all tax debts must be eliminated. If the founder’s share in the management company is not enough, then he will have to pay with personal property.
2. Debts to creditors. Debts will have to be paid off if it is proven that bankruptcy was caused by the actions of management. The order of repayment is determined in court.
3. In case of illegal bankruptcy. If the founders or management maliciously brought the company into bankruptcy for personal gain, then they will be punished.

Punishment for malicious bankruptcy can be administrative, financial or criminal.

Manager's rights

We looked at what functions the general director performs. It is also important to know the list of rights on which his work activity is based:

• Draw up and sign documentation within the limits of your competence.
• Make decisions within the authority of the CEO.
• Represent the interests of the entire company when interacting with other organizations.
• Terminate and conclude contractual documents on behalf of the entire company, corporation - business, labor, etc.
• Open company current accounts in banking and credit institutions.
• Endorse (sign, approve) the company’s staffing table, workday rules and other local (internal) documents of the structure.
• Perform transactions with both cash and property of an organization or enterprise.
• Hire and fire workers and employees.
• Involve employees in various types of responsibility - disciplinary, administrative, etc.
• Determine the accrual system, payment procedure, wages and other forms of material incentives for employees.
• Prepare and submit a number of issues for general discussion by the board of directors and shareholders’ meeting.

conclusions

From all of the above, the following conclusions can be drawn:

1. The obligations of the LLC organizers are not limited to the size of their share in the management company. If debts arise that cannot be repaid with company property, business owners will have to answer with personal funds. For this reason, it makes no sense to form an LLC just to avoid personal financial risks.
2. It is somewhat more difficult to attract the owner of an LLC to fulfill financial obligations than an individual entrepreneur. But currently the number of such cases is in the thousands.
3. If the company is run by a hired director, the owners should not completely remove themselves from running the business. It is necessary to introduce a control system that allows you to see the real picture. Otherwise, the director will have to bear personal responsibility for illiterate or dishonest actions.
4. It is important to monitor the status of financial statements. Distortion of documents or their damage may become evidence of intentional bankruptcy and, accordingly, the occurrence of subsidiary obligations.
5. Creditors have the right to demand repayment of debts not only from the enterprise, but also from its owner if the company is in the process of bankruptcy.
6. Creditors need to prove that the cause of the company's ruin was the wrong actions or inaction of management, but in most cases there is a presumption of guilt, and there is no need to prove anything to those demanding repayment of debts.
7. An attempt to divest a company's assets shortly before declaring bankruptcy is a reason to initiate criminal proceedings against the owners. Therefore, an attempt to hide part of the property may result in a criminal conviction.
8. If it is impossible to fulfill financial obligations, it is better to initiate bankruptcy proceedings by the owner himself, without waiting for the Tax Committee or other competent authorities to do this.

It is recommended to begin the bankruptcy procedure with the involvement of highly specialized lawyers who have positive experience in handling such cases. Only in this case can you count on the successful completion of the process.

Responsibility of an official

In addition to the rights, duties, and functions of the general director of an enterprise, there are also prescribed standards of responsibility. According to the law, they can be as follows:

• Responsibility to the company both for one’s actions and inaction, which led to losses and additional expenses.
• Responsibility for disclosure of data containing commercial or official secrets.
• Responsibility for negligent, untimely, incomplete performance of duties and functions of the general director of the company, as well as for failure to fulfill them.

Tax debts

The liability of LLC founders to the state is prescribed by law. Therefore, it is in the interests of the founders to monitor the actions of the director so as not to accumulate tax debts. Article 49 of the Tax Code states that if a liquidated organization lacks funds to pay off tax debts, including fines and penalties, the debt is collected from the founders.

An organization falls into the risk zone if the amount of tax debt reaches 300 thousand. If it is not possible to pay them, you must urgently declare bankruptcy. Otherwise, the tax committee will do this, but with a demand that the director and/or founders be found guilty.

You should not try to withdraw the company's assets to avoid paying debts. This will result in the founders being required to fulfill their obligations using personal funds.

Many people believe that it is difficult to hold the founder of an LLC accountable. However, since 2015, the Tax Code in some cases can use another tool - the initiation of a criminal case under Article 199 of the Criminal Code. As a result, the founders will not only be forced to repay the debt, but will also acquire a criminal record, which may negatively affect their future activities.

Wage level

One of the most elusive characteristics is that you cannot predict the level of your income if you take the CEO’s chair. It is only known that in Russia the minimum wage for such a person is 60 thousand rubles per month. On average, the official income of the general director is about 250 thousand rubles per month. The very top numbers can be quite exorbitant for a mere mortal.

However, not everyone who is intimately familiar with the level of responsibility of this person will strive to occupy such a position. The high level of remuneration of the general director is justified by his enormous responsibility for the results of his own decisions. This post is occupied by professionals armed with many years of experience in management and work in the company's specialization, talented and risk-taking managers, educated, responsible people.

Related positions

The general director of a large enterprise is a very responsible position associated with the performance of a variety of functions. This is why managers often need an assistant with slightly less authority or in their entire team.

Typically the following positions are entered:

• Deputy, chief assistant. The main functions of the Deputy General Director are comprehensive work with staff, fulfilling the latter’s duties in case of unforeseen situations.
• Financial Director. Responsible for economic activities and cash flows.
• Commercial Director. His element is promotion, marketing, sales department, and logistics.
• Executive Director. Another responsible position. His prerogative is financial and administrative control, interaction with subcontractors, suppliers, and organization of the document flow process.

Thus, CEO is one of the most promising, high-paying hired positions. Its essential feature is a high degree of responsibility both for one’s decisions and for the overall results of the company’s activities.