Board meeting procedures define the way in which meetings are conducted and the type of decisions made at a board session. Most of the time, these meetings are held at a distance, therefore it’s important to have clear guidelines for board meetings in place to ensure all board members are on the same board.
The first step is to send all members the agenda, along with any relevant documents like financial reports or projections for the company. This lets the members fully prepare for the meeting and provide them with the information they require to make a sound decision about any topic.
During the meeting members should be encouraged to raise their hands before making any comments or asking questions. However, they must be aware of their time and avoid asking questions that have already been addressed in the board’s pack and wasting time.
The Chairman and the majority of Directors present in the meeting must have their approval for any discussion not listed on the agenda. Moreover, any resolution shall be ratified through a vote of Directors present at the meeting. In the event of a majority number of votes, the Chairman will have a casting vote.
The vote is conducted when click to read more a member makes an statement, and the chair confirms that there is a majority in the room. (This is usually a specific percentage, dependent on the laws of the state). The chair then announces that the motion “dies due to the absence of a 2nd”. If the need for a vote arises during the meeting, it is typically done by the chair who reiterates the motion and asks for affirmative votes first. This is followed by negative votes, before announcement of the results.