Meeting minutes are the official account of what was done, agreed to and said in your company’s annual or special meetings. These act as an official record of the meeting. Meeting minutes are important as they are part of the corporate formalities that are needed to upkeep your LLC or Corporation. Corporate formalities ensure that your legal entity can withstand judicial scrutiny and thereby keep the limited liability that protects your personal assets. Without corporate formalities, a judge can pierce the corporate veil, thereby exposing your personal assets to the liabilities of your business. Thus, you could potentially lose your home or your car to a business judgment if you do not follow corporate formalities. Regardless of corporate formalities, meeting minutes also serve as an accurate record of your company’s growth and the reasons for decisions, thereby allowing you to run your business more efficiently and accurately. For more information on why corporate meeting minutes are important, please visit our article: Why You Need Corporate Meeting Minutes. While taking notes at a meeting does not seem like a new or particularly difficult concept, it is important that you try to include the following things in your minutes.
The following should be included in your minutes:
- Name of organization;
- Type of meeting;
- Date and time;
- Meeting agenda;
- Participants who are present;
- Members who could not or refused to attend;
- Establishment of quorum;
- Confirmation that Secretary and Presiding Member are present;
- Mention that previous meeting’s minutes were read and approved;
- All main motions and name of persons bringing the motion;
- Final wording of motion;
- Any questions raised;
- Any notices given at meeting;
- Points of order and appeals;
- Name of reporting member.
Note that meeting minutes should not be verbatim of what has been said at the meeting. Meeting minutes should focus more on what has been done, not what has been said. We hope that this article has helped you understand the importance of meeting minutes and has clarified what has to be included.
Donata Kalnenaite, Esq.