Q:

What is an example of corporate resolution?

A:

Quick Answer

A corporate resolution is a document created when a corporation's board of directors makes a decision on behalf of the corporation. The resolution is voted on by the board of directors at a board meeting and found in the minutes of the meeting at which the voting took place.

Continue Reading

Full Answer

A corporate resolution may also refer to a document signed by the board of directors indicating who from the corporation has the ability to do banking on the corporation's behalf, including signing checks and accessing bank accounts and corporate funds.

Many corporations make resolutions when the corporation is in its early stages of development. Some of the first resolutions a corporation typically makes are banking resolutions to authorize the corporation to establish bank accounts and resolutions for the election of officers that authorize the corporation to appoint the corporate officers including the president, secretary and treasurer. Other early resolutions include a corporate resolution for the issuance of stock, which grants the authority for the corporation to issue stock to shareholders, and a resolution for the qualification of the corporation to do business, which authorizes the directors and officers to take the necessary action needed to conduct business on behalf of the corporation.

Learn more about Corporations

Related Questions

Explore