The position of a company secretary holds great responsibility in bearing the duty of ensuring that companies comply with legislation and regulations in accordance with governance best practices. This is a role that is so much more than just taking notes or scheduling meetings.
If you are planning to become a company secretary, then this article will give you complete guidance on the steps to take to pursue this as a profession.
What is the Role of A Company Secretary?
A CoSec (company secretary) is a senior role in an organisation responsible for compliance with statutory and regulatory requirements.
The job has changed over the years, and now, it includes a variety of responsibilities that make up the “general governance” of the company.
Key Responsibilities
The duties of a company secretary may differ according to the size and type of organisation. But here are a few of the basic responsibilities:
- Compliance Management: To ensure the company’s compliance with the law, like filing annual returns, maintaining the statutory register, etc.
- Board Support: Helping board members structure their governance, including agenda setting, minute taking and communication support.
- Shareholder Relations: Interacting with the shareholders of the company, answering their questions and communicating their concerns.
- Policy Development: Developing and enforcing the organisation’s policy and procedure manuals to support appropriate corporate governance.
Importance of the Role
Role of a company secretary in maintaining transparency and accountability in the organisation.
They are most commonly viewed as the backbone of corporate governance’s capacity to have the board function effectively and within the parameters required by law.
It’s an extremely high-trust position requiring character and an in-depth understanding of corporate law.
Who is Eligible to Become a Company Secretary?
You don’t need any specific educational requirements to become a company secretary, except that you must be at least 18 years of age, but there are key skills and experiences that can help strengthen your application.
Educational Background
A degree in business, law, or a similar is often preferred. Some companies also seek candidates with extra qualifications in corporate governance or administration.
Professional Qualifications
To become a chartered company secretary, you could complete professional qualifications with approved organisations, such as the Chartered Governance Institute.
These certifications typically require the successful completion of a battery of exams testing multiple facets of governance, law and compliance.
Experience Requirements
Administrative experience or experience within corporate governance roles may be advantageous.
Junior administrative roles are a typical entry-level job in the field for the majority of prospective company secretaries.
How to Become a Company Secretary?
Becoming a company secretary – the steps. There are a number of steps in becoming a company secretary. Here’s a formatted approach to help walk you through it.
Step 1: Get an Applicable Education
Begin by seeking an undergraduate degree in a related area, such as business administration, law, or finance.
You will be provided with a strong foundation to develop skills to analyse corporate governance.
Step 2: Acquire Professional Credentials
You can also register yourself for an occupational course by reputed institutions. The Chartered Governance Institute, for instance, provides a full range of qualifications in topics including:
- Company law
- Corporate governance
- Compliance and administration
- Financial management
Step 3: Acquire Practical Experience
Look for internships or entry-level positions in professional office settings. You can also learn about the role by getting hands-on experience, which will not only improve your knowledge but also your network in the industry.
Step 4: Develop Key Skills
To succeed as a company secretary, you will require a wide variety of skills such as:
- Communications: ability to communicate with all levels of the organisation in a clear and concise manner.
- Ability to Organise: High capacity to organise tasks and deadlines.
- Attention to Detail: Practising stringent documentation and adhering to compliance.
- Solving Skills: Troubleshooting governance and compliance problems.
Step 5: Keep up With Regulatory Developments
The law is developing rapidly and company secretaries need to keep abreast of regulatory and best practice developments on corporate governance.
Try to go to workshops, seminars and training sessions on a regular basis to help you stay up to date.
Salary Expectations for Company Secretaries
Company secretary remuneration is liberal and varies according to the location, industry, and experience.
Average Salary Ranges
- Entry-Level Positions: The reality is, freshly minted company secretaries find it difficult to earn a monthly paycheck of less than £26,000 and more than £35,000.
- Mid-Level Experience: After a couple of years of experience, you can earn £50,000 to £80,000.
- Senior Positions: Experienced company secretaries, particularly in large firms and public businesses, can earn over £90,000 plus.
Factors Influencing Salary
The salary can vary according to various elements:
- The industry: Some industries, such as finance or pharmaceuticals, may pay higher salaries because of the complexity of their regulations.
- Region: Wages are different according to the region people work in, with urban centres typically offering higher salaries.
- Experience & education: More experience = more money. More education = more money
Career Progression Opportunities
A Company Secretary Career can open doors to several options in the organisation.
Potential Career Paths
- Chief Governance Officer: Responsible for supervising all governance matters of the company.
- Corporate Counsel: This way, you’re moving into the law department, advising the board and management.
- Compliance Director: Specialising in the management of compliance and regulatory affairs.
Skills for Advancement
If you want to get somewhere in your career, you should just keep on learning and take on more and more.
Another way to gain valuable knowledge and grow is to network with others who work in the field and to find mentors.
What is the Future of the Company Secretary Role?
With corporate governance coming under more and scrunit senior managers as companies deal with increased regulatory control and a greater call for transparency, the position of company secretary has perhaps never been more important.
Emerging Trends
- Technology as an Enabler: Governance technology is increasingly prevalent as more companies introduce online compliance and reporting tools.
- Greater attention to ESG: Environmental, social and governance (ESG) matters are increasingly a feature of corporate strategy, and secretaries will have an important part to play in embedding such issues in governance structures.
Conclusion
A career as a company secretary is an excellent career opportunity with a good scope of development and growth both in India and abroad. Get started by following the advice in this guide, and be sure to keep growing and developing your ways to succeed in this critical function for any company.
Whether you are young and fresh out of university or experienced in another career, the journey to company secretary takes innumerable possibilities.
