Corporate Governance.

Corporate governance is a set of practices and processes that determine how a company is directed and controlled.

These systems balance the interests of company stakeholders, including shareholders, management, clients, and suppliers.

In England and Wales, some company types are advised to implement corporate governance processes under the UK Corporate Governance Code. All corporate governance policies in England and Wales must adhere to the Companies Act 2006.

Many areas come under corporate governance, including but not limited to:

• Audits
• Board of Directors structure
• Company formation
• Compliance framework
• Director liabilities, remuneration, and duties
• Governance policies
• Risk management

All companies must follow the guidance in the Companies Act 2006.

Premium-listed companies on the UK stock exchange are recommended to follow guidance under the Corporate Governance Code. If a premium-listed company chooses not to follow this guidance, it must have a valid reason.

The Wates Code is another optional set of guidelines applicable to larger companies.

Although it may not be a legal requirement, all companies are encouraged to implement corporate governance processes.

Implementing robust and transparent corporate government processes shows accountability, ultimately building stakeholder trust and enhancing your reputation.

These processes also aid in making strategic decisions that align with the company’s goals and values, while mitigating risks through internal control mechanisms.

With that in mind, effective corporate governance protocols can promote ethical business practices and can increase access to capital, as investors are more likely to support well-governed companies.

Implementing corporate governance often involves balancing short-term performance pressures with long-term sustainability goals and ensuring compliance with complex, evolving regulatory requirements.

Companies may face resistance to change within the organisation and struggle to manage diverse stakeholder expectations.

Our experienced Corporate Solicitor can help you minimise risks by implementing effective risk management and internal control systems.

The cost depends on the size and complexity of your business, and the services required.

Once you have outlined your needs with our solicitors, we can provide a fee estimate.

To request a callback from our corporate solicitors, please call us on 0203 007 5500.