Five Types of Board Documents

A board of directors uses various documents to fulfill its duties. They include legal requirements, as well as internal guidelines and policies. To make effective decisions, boards should have access to all accurate, precise and concise information.

The proper board documents is crucial for any non-profit organisation to be successful. A board can get overwhelmed with administrative duties without the appropriate materials and lose focus on strategy. To ensure that your board is fulfilling its fiduciary obligations of accountability, it’s crucial to keep these Deal Room benefits five important documents in your possession:

Board papers are the materials that board members read prior to and during board meetings. These documents are essential because they provide the context and background that enables boards to make informed decisions. To be effective, board documents must be concise, clear and complete – a blend of the three C’s of communication:

Financial Statements

Board members require a simple picture of the financial health of their company to be aware of what is owned, how much money is on hand and what expenses are authorised by the board. The board needs to be familiar with the company’s finances so they can ask the appropriate questions at meetings and oversee the CEO’s financial accountability.