nevada llc corporation

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Business Entities Explained  
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Running your Corporation - the necessary details  

Resolutions record the major decisions taken by the corporation's stockholders or Board of Directors. While not always required, it is a good idea to record your actions in the form of resolutions because they show outsiders that the actions were taken by and on behalf of the corporation. Some resolutions are passed only by the stockholders; others, only by the Board of Directors. Some must be passed by both bodies. Amendments to the Articles of Incorporation must then be filed with the Nevada Secretary of State to become effective. Resolutions adopted by the Board of Directors that generally do not require stockholder approval involve everyday operations of the corporation, including leasing, major purchases, hiring, banking, borrowing, investing, paying of dividends, salaries and bonuses, providing benefits for employees and changing the corporate status, such as obtaining "S" status. As a general rule all records, resolutions and minutes of your corporation should be kept in your corporate minute book for a period of no less than six years. This is a good idea because sometimes a stockholder will want to inspect the corporate books and records to insure the corporation is being run in its best interests. We recommend that your corporation retain these records for a longer period should anyone ever challenge the actions of the Board.

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