Five Types of Board Documents

A board of directors relies on several types of documents to perform its duties, which range from legal requirements to internal policies and guidelines. To make the best decisions, boards must have access to complete accurate, precise and concise information.

The proper board document is essential for any non-profit organization to be successful. A board can get distracted by administrative tasks with no appropriate documents and lose focus on strategy. To ensure that your board meets its fiduciary obligation of accountability, it’s vital to keep these five crucial documents in your possession:

Board papers are the material that board members go through prior to and during meetings. These documents are important because they provide context and background information that aids boards in making informed decisions. Board papers should be concise, clear and comprehensive. This is a combination of three C’s:

Financial Statements

Board members need a picture of the financial health of the company that is simple to comprehend. This will allow them to comprehend what the company’s assets are and how much cash is available, and what expenses have been voted on by the board. The board should be familiar with the company’s finances, so they can ask the pertinent questions at meetings and also supervise the CEO for financial accountability.

https://swrc2.info/the-software-your-industry-requires-to-do-international-business/