Corporations, by law, have to have an officer structure. The larger the business, the more officers there will be. What roles they play depends on the decisions made by the structure of the board. All have some type of function, even the secretary.
State laws need to be followed as well as federal ones in order to maintain the status for incorporation. For example, an LLC must have recorded minutes of a meeting as proof of its existence. It’s important to keep up with this or any legal challenge to the business may not stand up in court. A judge has the ability to “pierce the corporate veil,” causing the listed officers to be held personally liable for any damages. Never overlook the need to have this job done.
It is entirely possible for one person to have more than one title. There are times when the duties of two titles overlap. It’s situations like this is when it makes more economic sense to put one person in the job and give them both titles. Why spend more money than necessary? Supply an appropriate compensation as long as they do the job and ensure that they keep up with proper reporting.
The secretary’s job seems like the most humble title when in reality, it’s the most important. Their job is the lynch pin of keeping the business in legal territory. All records of meeting minutes are in their care. A good record keeper will be able to pull up any information quickly upon request.
An officer must do their job well regardless of their title. The success of a business depends on the people who run it. A company is made up of the people who created it and run it according to the founder’s vision. Those who take the vision to heart will find they make successful officers.
