Counsel

Employment Contract will have a final say on this:

Without looking at the Employment contract you have signed we will not be able to provide a definite answer to your question. However, most companies have an employment contract which bars their employees to work for a different company (though it is your own in your case this clause is still applicable). Hence if you become a director in your company you can be considered as breaching this clause and your company may initiate action against you. In case you are also approaching the clients of your company then the company will take this very seriously and you may face civil suite against you as well. However in cases like these, we have seen enterpreneurs involving their relatives like parents, children, spouse or siblings and start the company in their name. We have to warn you that the company can still take action against you if they can prove that you had interests in the company established by your relatives. But proving this may be relatively tough than you being involved directly in another venture.