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Salary of a Managing Director of a Private Limited Co

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CELINE GEORGE (Querist)
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25 July 2010 Is there a limit on the salary that a managing director of a private limited company can withdraw? Is there any relation between the total capital investment in the company by the director and his/her salary?
Also is there a difference between the terms "salary to a managing director" and "remuneration of a managing director"? If so is there a limit on either of them?

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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25 July 2010 Overall limits to managerial remuneration is not applicable to a private limited comapany unless it is a subsidiary of a public company.
Remuneration and capital investment of the company is not related.
Generally there is no difference between remuneration and salary. But depends how company describes it in the articles / resolutions etc.
However a private company has to take care of the matters of remuneration through the clauses of it Articles of Association.

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