| Corporate Resolutions are the record of the | | | | 10 Authorization of Corporate Account and |
| actions, motions or proceedings undertaken in | | | | Designate of Authorized Signer. |
| the Board Meeting and the shareholder | | | | |
| meeting. Generally, companies record the | | | | 11 Appointment of law compliance committee. |
| decisions, taken in the meeting of the Board | | | | |
| of Directors or shareholder meeting, for | | | | 12 Authorization for issuance of shares of |
| future reference. Recording of the | | | | stock. |
| proceedings isn't mandatory but it is a good | | | | |
| idea. The Board of Directors, the | | | | 13 Assignment of lease. |
| shareholders or sometimes, both the Board of | | | | |
| Directors and the shareholders, must pass a | | | | 14 Assignment of loan funds. |
| resolution. | | | | |
| | | | 15 Obtainment of a corporate credit card. |
| The shareholders must approve all resolutions | | | | |
| such as the introduction of any changes in | | | | After the first corporate resolution the |
| the articles of a company, filing for | | | | shareholders and the Board of Directors |
| bankruptcy, dissolution of a company, or a | | | | resolve that each meeting be properly |
| change in the Board of Directors. Generally, | | | | notified in advance. This also becomes a |
| routine decisions taken by the Board of | | | | corporate resolution. |
| Directors, for the normal functioning of a | | | | |
| company, do not require the approval of the | | | | Application of Corporate Resolutions: |
| shareholders. A majority must favor a | | | | |
| resolution for it to take affect. The company | | | | The subsequent board meetings and corporate |
| records passed resolutions in the company | | | | resolutions can cover the following subjects |
| records. | | | | and more. |
| | | | |
| Types of Corporate Resolutions: | | | | · Appoint or terminate of Directors and |
| | | | Officers. |
| The first corporate resolution is decided | | | | |
| upon after the incorporation of the company | | | | · Introduce new articles, bylaws, or |
| and the introduction of the bylaws. After the | | | | amendments to existing articles or bylaws. |
| adoption of company's bylaws, the company | | | | |
| passes its first corporate resolution. This | | | | · Amend the existing operating agreements. |
| can be for anything from the appointment of | | | | |
| directors to organization of the corporation. | | | | · Discuss encumbrance by lending. |
| Below is a list of the first corporate | | | | |
| resolutions that must be resolved before a | | | | · Adopt corporate loan documents |
| corporation becomes fully operational. | | | | |
| | | | · Adopt additional resolutions |
| 1 Approval of bylaws. | | | | |
| | | | Additional Help |
| 2 Appointment of directors. | | | | |
| | | | Absence of the records of corporate |
| 3 Appointment of officers. | | | | resolutions can lead to dire consequences for |
| | | | not only the company but also the board of |
| 4 Selection of corporate seal. | | | | directors making, them vulnerable to |
| | | | financial penalties and other legal |
| 5 Establishment of executive office. | | | | entanglements. The recording of the minutes |
| | | | of board meetings and the subsequent |
| 6 Securing various government approvals. | | | | corporate resolutions can be a cumbersome job |
| | | | and is prone to human error. Some innovative |
| 7 Schedule of Board of Directors meetings. | | | | companies have come forward to free companies |
| | | | from this lurking problem by designing |
| 8 Schedule for Annual Meeting of | | | | customized software. This software offers a |
| Shareholders. | | | | variety of services, which can help the |
| | | | company maintain the records, creating |
| 9 Authorization of Treasurer/Administrator | | | | desired documents and streamlining the |
| CFO for opening and using accounts. | | | | functioning of the company. |
| | | | |