Joint administrators

There are different types of administrators.

Did you know that there are different types of administrators for companies? So thats it. In this article we will explain what these three groups are, but we will focus above all on one in particular: Joint administrators.

Since this type closely resembles joint and several administrators, we will explain what is the main difference between the two and what are its advantages and disadvantages. If you are interested in the subject, do not hesitate to continue reading, we will surely solve your doubts.

What are joint administrators?

Joint administrators cannot act alone

According to the Capital Companies Law, A company must have administrators, Of course. There are different types:

  • Sole administrator: It is a single person who is responsible for all the functions that must be performed in this position, such as management tasks. Only she can officially represent the company in question before third parties. This is often the case in small companies.
  • Board of directors: It is a collegiate body made up of several people. To reach agreements, votes must be held. In general, this board has the ability to delegate certain functions to an executive committee or CEOs.
  • Joint administrators or joint and several administrators: There are several people who, jointly, perform the work of administrators. Both groups differ in a fundamental aspect, which we will comment on later.

Of these three groups, the one that interests us is the last: The joint administrators. In this case, so that they can carry out the functions that correspond to the position, These people must act together. According to the bylaws of the company, in the case of a Limited society with three or more joint administrators, the act of two of them is usually sufficient. However, this rule does not apply to Anonymous Societies.

What does this imply? Well, when dealing with certain issues, such as hiring something or someone on behalf of the company, representing it or signing documents related to it, the presence of all administrators is required. According to the company bylaws, the presence of two of them may be sufficient. That is to say: A single joint administrator may not carry out acts related to the company in a valid manner.

Advantages and disadvantages

Like everything in life, joint administrators have some advantages but also disadvantages. It is mandatory that this type of administrators be registered in the Companies register. In addition, to be linked to the company, the signature of each and every one of the joint administrators that belong to it is required. This type of organization It is very advantageous in terms of controlling the operation of the company or society.

However, there is a not insignificant disadvantage. It may be the case in which there is an irreconcilable disparity of criteria and opinions among the various joint administrators. If so, it is possible that the administration of the company will be completely paralyzed.

Jointly and severally administered: Differences

Joint administrators are less agile than joint administrators

We already know what the joint administrators are, but what about the joint administrators? What is the difference between them? Let's see, these two types have in common that there are several people who are in charge of the administration of the company. However, joint administrators have a great advantage over joint administrators: Only one of them can perform any function of the position. In other words: A single joint and several administrator has full authority to carry out acts related to the company without any other administrator.

Therefore, The main difference between both types of administrators is their power of action. While the joint administrators do not need the attendance of the others to be able to perform the functions that correspond to the position, the joint administrators do have to present themselves all at the same time to do so.

Both cases have an advantage and a disadvantage. In the case of joint and several administrators, it is true that much more agility is obtained in terms of the company's operations. This is because a single person can carry out any task without having to wait for others or depend on them.

On the other hand, the joint administrators are not able to match the agility level of the solidary ones, but they have much more control when it comes to decision-making. Since they all have to be present, it is mandatory that there is a consensus among the people who are part of this group of society. Joint and several administrators could rather act on their own, without taking into account the opinions of the other administrators.

I hope that all this information has helped you understand what joint administrators are and how they differ from others. Remember that they all have their advantages and disadvantages. In some businesses, the joint method may work better, in others the joint method, and in others the board of directors. Be that as it may, now you know what types of administrators there are and what they consist of.

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