A board of directors makes use of various documents to fulfill its responsibilities. These vary from legal requirements to internal guidelines and policies. To make effective decisions, directors require access to concise, clear and complete information.
It is essential that any non-profit organization has the right documents for its board to ensure success. Without the proper documents, a board can get bogged down with administrative tasks and lose focus on strategic growth. To ensure that your board is performing its fiduciary duty of accountability, it’s crucial to keep these five key documents in your visit homepage swrc2.info/how-to-write-a-board-resolution/ possession:
Board papers are documents that board members study prior to and during the meeting. They are crucial because they provide the background and context that allows boards to make informed decisions. Board papers should be concise, clear and comprehensive. This is the result of three C’s:
Financial Statements
Board members require a quick overview of the financial health of the company that is easy to read. This will help them understand what the company owns and how much cash is on hand and the amount of expenses that have been approved by the board. The board needs to be familiar with the company’s financials so that they can ask the appropriate questions at meetings and supervise the CEO’s financial accountability.