Corporate Resolution Form

A Corporate Resolution is a legal document that records the decisions made by a corporation’s board of directors or shareholders.

This Corporate Resolution document authorizes the company to take specific actions, such as opening bank accounts, appointing officers, or approving contracts.

By using this document, your corporation can guarantee that decisions are properly documented and legally valid.

Benefits of a Corporate Resolution

If you’re wondering, “Why is a Corporate Resolution important?”, simply put, a Corporate Resolution helps make sure that your corporation complies with state laws and reassures third parties like banks or investors that actions are properly authorized.

Specifically, by using a Corporate Resolution, you will get:

• Accountability
• Legal proof of authority
• Organized records
• Liability protection
• Smoother business operations

Below, you can review a Corporate Resolution example to understand what needs to be included in your document.

Then take advantage of our Corporate Resolution template to help you create your own document.

A Corporate Resolution Letter is needed whenever a corporation makes significant decisions that must be formally approved and recorded.

Below are some of the typical moments when you may need this document:

Corporate Banking Resolution

Banks often require a Corporate Resolution before opening or closing a business account, approving loans, or authorizing credit. This makes sure the institution has written proof that the board or shareholders officially approved the transaction.

Corporate Resolution Signing Authority

A resolution is needed to grant signing authority to officers or directors. By using this document, you can formally record who can sign contracts, checks, or other binding documents on behalf of the company, protecting against unauthorized actions.

Stock and Ownership Decisions

Issuing or transferring shares, approving dividends, or admitting new investors usually requires a Corporate Resolution document. As these actions affect ownership structure, they must be written down to remain legally valid and transparent to regulators and shareholders.

Major Business Actions

Resolutions are also used for mergers, acquisitions, property purchases or sales, and changes to corporate bylaws. Documenting these decisions provides legal proof of authorization and strengthens the management system within the corporation.

It’s important to draft your Corporate Resolution form clearly so it serves as valid proof of authorization without any doubts. Follow these steps to write your document:

1. Mention the corporation: Include the company’s legal name and state of incorporation.
2. Record meeting details: Specify the date, time, and location of the meeting or written consent.
3. State the purpose: Use “Whereas” clauses to explain the background or reason for the resolution.
4. Write the action: Add “Resolved” clauses outlining the decision being approved.
5. Confirm consent: Indicate that the required number of directors or shareholders approved.
6. Add signatures: Make sure all the officers or the secretary sign and certify the resolution.

Use our Corporate Resolution template to help you create this document, before having it reviewed by a legal professional to ensure it’s ready to put into effect.

Once it’s ready and has been used, store your Resolution in the corporation’s records for future reference.

While both a Corporate Resolution and a member resolution indicate formal business decisions, the key difference lies in who authorizes them.

There are other business documents that you can use in similar situations. Manage your company, corporation, or other type of business with the following agreements and documents:

• LLC Operating Agreement
• Corporate Bylaws
• Articles of Incorporation
• Shareholder Agreement
• Joint Venture Agreement