A minute is prepared so that the motion and resolutions taken at a meeting can be used as a reference in future. The importance of minutes is the following:
Importance of minutes
- It preserves a clear, concise and accurate record of the business transacted at the meeting.
- It serves as a permanent record of the actions of the members and decisions taken at the meeting.
- It serves as a legal document when it is confirmed by the next meeting and signed by the chairman.
- It helps as the guidelines of the organizational activities of any concur.
- It serves as a reminder of the subject matter dealt with in the previous meetings.
- It is the official records of the proceeding and decision of the meeting.
Classification of Minutes
Minutes may be of two types viz.., Minutes of Decision and Minutes of Narration.
- Minutes of Decision: It means the recording of the resolutions taken at the meeting. In this method, only the final decisions adopted at the meeting are recorded in brief.
- Minutes of Narration: It means the recording of proceedings of the meeting in detail for some of the discussions and happenings. In this method, the minutes are written in a narrative style about the discussions and the resolutions adopted in the discussions.
Principles of Writing Minutes
The following principles are followed for writing Minutes
- It should be clear,-concise and accurate and free from ambiguity
- It should be written by dividing the matters into a suitable paragraph.
- Each paragraph should be written with a brief heading for quick reference.
- It should include the correct and fair summary of the proceedings of the meeting.
- It should state the name of the meeting with date, time and place.
- It should mention the name of the chairman and other important persons attended the meeting.
- It should state separately the financial and other special terms discussed in the meeting.
- It should state the names of the props, secondary method of voting, voting results and the resolutions of the meeting.
- It must be recorded in the Minutes Book.
- Explanatory notes should be given for special issues in the footnote of the minutes.
- The minutes must be signed by the chairman with the date and confirmed at the next meeting of the members.
Related Content of Company Meeting:
- Difference between Minutes and Resolution
- Resolutions Definition and Requisition of Resolutions
- Types of Resolution in Accordance with Company Act
- Advantages and Disadvantages of Meetings
- Ordinary Resolution and Special Resolution
- Resolution by Circulation and Resolution Requiring Special Notice
- Minutes of Meeting Sample / Template / Format and Example
- Notice of Meeting Sample / Template / Example / Format
- Difference between Minute and Proceeding