With this amendment some board matters which were restricted to pass through physical board meeting only, can now be dealt with in a Virtual Board Meeting
However one should keep following points in mind while conducting Virtual Board Meeting:
- Virtual Board Meeting can be held anytime with 7 days’ notice given to every director either through electronic means or by post or hand delivered
- It is necessary that all participants to Virtual Board Meeting have access to same technology that enables them to participate in the meeting without any constraints
- It is necessary that virtual board meeting is recorded the audio with video and the recording is saved for records
- It is necessary that only concerned directors are attending the meeting and no other person is allowed to attend the same in any manner
- It is necessary to ensure that proper identification procedures for persons attending the meeting and security measures for safeguarding integrity of the meeting are undertaken
Virtual Board meetings has upside such as reduced travel, more attendance, shorter agendas and quick presentation.
Accounting definitions and terms for small businesses
Recent amendment is a good move bringing ease of business conduct for all companies on the background of Covid pandemic.
Though social distancing measures are going to relax at some point in future, we feel that most of the companies will continue to adapt the series of online board meetings throughout the year for its obvious benefits
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In this Article
editor
Maanoj Shah is the Co-founder & Director of Growth Strategy & Alliances at Finsmart Accounting, where he pioneered the “Accounting Seat” model—a revolutionary offshore embedded staffing solution purpose-built for Accounting and CPA firms. Widely recognized as an outsourcing and offshoring expert, Maanoj’s insights have been featured in leading accounting publications, and he regularly speaks at premier industry conferences including Scaling New Heights, Bridging the Gap, BKX, and Women Who Count.
A dynamic growth leader with over two decades of experience, Maanoj has incubated, scaled, and exited ventures across Fintech, HR, and Consulting sectors, holding various CXO roles throughout his career. His passion for scaling businesses is matched by his commitment to social impact. He is the Co-founder of Mission ICU, a national healthcare initiative that installs critical care units in underserved areas of India, and was recognized by the World Economic Forum for its last-mile impact.
Outside of work, Maanoj leads an active lifestyle as an avid tennis player and passionate golfer, blending strategy and agility on and off the court.
CONTENT DISCLAIMER
The content in this article is for general information and education purposes only and should not be construed as legal or tax advice. Finsmart Accounting does not warrant or guarantee the accuracy, completeness, adequacy, or currency of the information in the article. You should seek the advice of a competent lawyer or accountant licensed to practise in your jurisdiction for advice on your particular situation.
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