SO, YOU HAVE INCORPORATED…. NOW WHAT?
Earlier in our post “Benefits of Incorporating your Business” we briefly discussed why incorporation is a wiser choice.
Now that your company is incorporated and you have received your Certificate of Incorporation, there is far more that needs to be done before your business is operational and generates profit. But the first step should always be organizing your new corporation’s records. Right from the moment of incorporation through the numerous meetings, minutes and share issuances that your company will have, you will generate a great number of documents in which you will easily get lost if they are not organized properly. The proper way to organize your company’s documents is by way of a minute book.
What is a Minute Book?
A corporate minute book is a binder-type thick-covered book which will hold all of your company’s documents. The law in Canada requires that certain corporate records be maintained and kept at your corporation’s registered office. A minute book is a convenient way of keeping your corporate records in one easy to access place, organized by document type and date.
Your company’s minute book will hold in it the following documentation:
• Articles of Incorporation & Certificate of Incorporation
• Copies of any forms that are filed with the government
• All corporate by-laws
• Minutes of all company meetings
• Directors’ register
• Officers’ register
• Shareholders’ register and individual shareholders’ ledgers
Your corporate minute book acts as a repository of important reference material as it holds all of the corporation’s documents and business information. Minute book should be complete and well organized and logical so that anyone (you, your accountant or your lawyer) is able to easily access any information that is required in order to complete various corporate transactions or filings.
Should you get a Corporate Seal?
In Canada, there is no legal requirement to have a corporate seal any more, but many corporations still purchase seals to emboss the corporation’s name on legal documents. Having a corporate seal on your legal documents acts as reassurance for your business partners, vendors and other parties by way of making legal documents appear more legitimate to them. Also several banks will still insist that all agreements your corporation makes with them be officially sealed with a corporate seal.
Purchasing a corporate seal will definitely help you avoid future hassles as they may arise.