If you own a corporation that has shareholders, you will typically be required to convene a shareholder meeting at least once a year. This meeting will allow attendees to learn more about the products or services that the company offers as well as voice any concerns that they may have. Let’s take a look at what constitutes a valid gathering.
Shareholders Must Be Given Adequate Notice
Anyone who has an ownership stake in your company must be given adequate notice of an upcoming shareholder meeting. Generally speaking, they must receive a letter, email or other type of notification no less than 10 days before the event is scheduled to occur.
The notice must specify the time, date and location of the meeting as well as what to do if they cannot attend the gathering in person. Shareholder meetings can take place at home, a local restaurant or any other venue that is large enough to accommodate those who wish to take part in them.
Minutes Must Be Kept
A detailed record of the event must be kept for it to count as a valid meeting. Typically, this means that a designated individual will make a note of when the meeting came to order, the results of any votes taken and when the meeting came to a close.
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