PREVFinLit1 - IG (80p Protected Preview)

COPYRIGHTED MATERIAL

LET'S PRACTICE

SECTION 4. PLACE OF MEETINGS Meetings of the board of directors shall be held at any place which has been designated in the notice of the meeting. SECTION 5. QUORUM AND BOARD ACTION A quorum for all meetings of the board of directors shall consist of the authorized number of directors. SECTION 1. OFFICERS The officers of the corporation shall be a president, a secretary, and a treasurer who shall also be the chief financial officer of the corporation. Any number of offices may be held by the same person. SECTION 2. ELECTION All officers of the corporation shall be chosen by the board of directors. SECTION 3. PRESIDENT The president shall be the chief executive officer (CEO) and general manager of the corporation subject to the direction and control of the board of directors. The CEO shall have general supervision, direction, and control of the business and affairs of the corporation. He or she shall preside at all meetings of the shareholders and directors. SECTION 4. SECRETARY The secretary shall keep a book of minutes of all meetings of directors and shareholders. The minutes shall state the time and place of all meetings; the number of shares present, and account of the proceedings. SECTION 5. TREASURER The treasurer shall be the chief financial officer of the corporation and shall keep correct books and records of the business transactions of the corporation. The CEO is a very important postition. He or she will run the corporation’s management meetings. It's OK for one person to fulfill many roles – especially in a small or startup corporation. The Board of Directors elects the officers. Now's the time! Shareholders, elect your directors! PRODUCT PREVIEW

ARTICLE IV. OFFICERS

ARTICLE VII. INDEMNIFICATION AND INSURANCE OF CORPORATE AGENTS SECTION 1. INDEMNIFICATION The directors and officers of the corporation shall be indemnified (not be liable for the debts) by the corporation to the fullest extent of the law.

It’s important to follow all corporate formalities, or risk losing protection from personal liability.

233 THE 21st CENTURY STUDENT’S GUIDE TO FINANCIAL LITERACY

Made with FlippingBook flipbook maker