Revision of company law: what board members must implement now

Capital Band

The articles of association may authorise the Board of Directors to increase or decrease the share capital within a certain range. This provides flexibility for financing rounds — but requires a sound statutory basis.

Impending Insolvency

The Board of Directors must monitor liquidity and act with due diligence in the event of impending insolvency. In practice, this means: rolling liquidity planning over twelve months, documented in the minutes.

– Update liquidity planning quarterly.

– Document measures and decisions.

– In case of undercapitalisation, involve the auditor early.

The most important points in brief

– Review articles of association for capital band and interim dividends.

– Introduce rolling liquidity planning.

– Document decisions of the Board of Directors.