Have you reached a point in your career where you’re ready to finally stop working for someone and instead have people working for you? Are You Ready to be a Company Director?
Being a company director has many perks, including more freedom, work benefits, and higher income potential.
But what are the responsibilities of a company director? And, how can you jump from a manager to a director position?
This article will give you the information you need if you’re planning on becoming a director, including what a director is, what responsibilities you’ll have, and three golden tips you can follow to go from a manager to a director.
What is a company director, and what are their responsibilities?
A company or managing director is a board member of a company. The company essentially chooses them to manage its daily business activities, make sure that all legal requirements are met, and make decisions for the good of the company.
Using their skills and experience, they promote the long-term success of a business and ensure that processes run smoothly.
They’re also usually the highest-paid workers of a business — with the average salary of directors being around R85,000 per month as opposed to a manager that gets paid an average of R40,000 per month.
Tips to jump from a manager to a director
Here are the top three tips you can follow to jump from a manager to a director position:
Further your education
A Master of Business Administration (MBA) could help your chances of becoming a director. An MBA will enhance your marketability and increase the quantity and quality of your job offers.
It’ll help expand your network as you’ll get to know the big names in the industry, and you’ll also build necessary skills, such as leadership, conflict resolution, critical thinking, strategic planning, and more.
These skills could help you earn more in your job. For example, managing directors with excellent strategic planning skills can make up to 19% more.
Excel at your job
By showing your talent for developing managers and being an excellent coach or mentor, your company directors will see you as a valuable asset that could potentially be promoted to a director position.
Furthermore, showcasing your leadership and influence skills across multiple departments will indicate that you have what it takes to direct teams that you don’t directly manage yourself.
You’ll want to set standards for excellence and give directors a taste of how well the company would function if they were to promote you.
Start a company
You could start your own company. Essentially, you’ll have two options: A limited or sole trader/partnership company.
The company type that you choose will depend on your goals and circumstances.
With a limited company, your personal assets are protected, and you have a better chance of tax savings. However, you’ll most likely need an accountant to handle your tax returns (as opposed to doing it yourself), and you’ll also have many filing duties.
With a sole trader company, you are personally responsible for all debts of the business and your other assets (which is a far bigger risk), and you’ll also pay more in taxes. However, you’ll be able to handle tax returns yourself and accounts and reporting requirements are also relatively straightforward.
Ready to become a director?
If you’re ready to accelerate your career and go from manager to director, you either need to excel at your work and further your knowledge or take a leap of faith and start your own business.
Make the process easier by developing your skills and knowledge with an MBA.