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How to create a Directors’ Resolution to Approve Financial Statements
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Do I need a Directors’ Resolution to Approve Financial Statements?
A Directors’ Resolution to Approve Financial Statements is a document that records the formal approval of a company’s financial statements by its board of directors.
It is a legal requirement in many jurisdictions for the directors to formally approve the annual financial statements before they are presented to the shareholders at the Annual General Meeting (AGM).
The financial statements typically include the balance sheet, income statement, statement of cash flows, and notes to the financial statements, all of which provide a comprehensive overview of the company’s financial status and operations over the fiscal year.
Do all directors need to approve accounts?
A company’s board of Directors must approve a company’s annual accounts, and it needs to be signed by a director on behalf of the board.
The director’s signature must also be on the company’s balance sheet.
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