A minute book is one of the most valuable documents in the corporate world. Often, it is a collection of different company records. It refers to a huge bound book or binder that contains all these different records.
Such books are common in C and S corporations. The law requires such a corporation to fulfil its obligations towards shareholders. Part of these entails documentation of particular activities the company is involved in.
The minute book document is the organization's official records. It captures records that prove highly beneficial to accountants and company lawyers. This book can help to resolve some disputes between shareholders, management, and vice versa.
Types of Documents Found in Minute Books
The following types of documents are a feature of the minute books:
- Articles of incorporation
- Company by-laws
- Minutes of meetings and resolutions involving directors and shareholders
- Register of directors and officers
- Register and ledger of all shareholders
- A register of all share transfers
- Original share certificates or their copies
- A copy of each statutory form that requires filing
- Shareholders' agreement
Keep the Minute Book Current
There is no harm in delegating some tasks to the minute book legal translation experts. The main issue you have to bear in mind is the need of ensuring that the book contains up-to-date information.
Otherwise, the book might be needed urgently only for others to discover that it hasn't captured the latest details. It is much easier to record as you go rather than trying to move back into time to capture something that already happened.
Is a Minute Book Mandatory?
You are probably asking whether the minute book is mandatory, especially when your organization keeps up-to-the-minute records in other documents. The truth is it's better to have more information that none or insufficient.
Organizations can collapse based on nothing other than lack of adequate information. Don't forget that the minute book document allows you to keep all important documents of your organization in one place.
Subsequently, it becomes much easier to provide these records to:
- Potential buyers
The worst thing that could happen is failure to provide these records when asked to. Some investors have little time to spare waiting for these details. They need these details fast to make decisions quickly.
Learn to separate the book into sections to give yourself an easier time of keeping this book up-to-date. For example, you could have one section for the board of directors alone.
Then the remaining sections would be for:
- Certificate of incorporation
- Bylaws and all the accompanying amendments
Prepare the Minute Book
Lastly, start learning to maintain an up-to-date minute book document. Work closely with minute book legal translation to spruce it up for easy understanding. Keeping these books up to date is a way of fulfilling one's financial obligations.
Keeping a minute book is a wonderful way of training yourself to maintain stellar records. In the corporate world, records keep the fire burning. Records provide the energy on which organizational wheels turn.