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Apex on the importance of Authorised Signatory Management: Q&A

Why does Authorised Signatory Management matter? To answer this question, we decided to speak to a number of corporate finance leaders from different industries and get their perspective on the topic.

In this post, we caught up with Michael Hackett, Company Secretary at Apex Group, to discuss his view on the role of authorised signatory management in the modern corporate world. Apex is a Bermuda headquartered financial services provider with operations in more than 45 locations around the world and more than 3,500 employees. Apex offers a wide range of services; including fund services, digital onboarding and bank accounts, depositary, custody and super ManCo services, business services including HR and Payroll, and a pioneering ESG Ratings and Advisory service for private companies.

Why is signatory management so critical for corporate governance and risk management? 

A robust signatory management system and clear policy are essential to driving a robust governance framework and risk management process within a company. It is essential that the policy and signatory management system work hand in hand to ensure an efficient process for the execution of documents in a correct and efficient manner. Copies of paper-based signatory lists and a lack of a clear signatory policy means the company is exposed and at risk from an authority and execution perspective.  

From an audit perspective, a robust audit trail of signatory data is essential to ensure correct oversight and process in place. An efficient signatory management system can drive ‘Sustainable Governance’ in a company.    


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What’s the role of technology in modern corporate governance? How can companies drive digital transformation? 

The key for technology is the integrated approach to tech. That the benefit is not lost on the systems being efficient but that efficiency is lost by different systems not driving performance of the process. A single source of truth supported by a signatory policy are essential elements to drive the efficient execution of documents to limit exposure and increase oversight.   

What about e-signatures? How can companies ensure all e-signers are appropriately authorised? 

This is essential with a robust execution policy – a signatory should be clear on what they have authority to execute. A preparer should also be clear on who can execute documents and in what capacity in order to bind the company. This is essential and a single source of truth where signatories can be added and removed in ‘real time’ is an important element of the overall process.  

What are the risks of failed signatory management for businesses? 

A failed signatory management system can lead to exposure for the company and open the company up to potential fraud with a lack of authority to execute documents correctly on behalf of the company.


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