Board resolutions are legally-binding documents that record the votes and decision taken by the directors of your company at a board meeting. Board resolutions are mandatory in important situations like appointing directors, removing employees or selling company shares. They serve as proof that your board of directors voted on the important issues.

In order to write a board of directors resolution, the first step is to identify the nature of the decision you’re making. Go through your company’s policies to determine if it calls for a special or ordinary resolution. In your company’s governance document, it may be stated how many directors are required to decide on the resolution. It is possible that you need at least three directors in order to pass a legally binding resolution.

Start with an appropriate title for the document. This will help you find the resolution document quickly within your records system. Also, make sure to include the resolution number unique to your document-keeping system. This will make it easier to reference the resolution in future.

It is vital that the directors of your company accept your resolution once it’s been drafted. It is recommended to utilize software for boards for this purpose since it makes the process of writing and e-signing resolutions easier and more efficient.

https://thedailyboardroom.com/how-board-management-software-pricing-structure-works/