We’re reader-supported and may be paid when you visit links to partner sites. We don’t compare all products in the market, but we’re working on it!
It's important for a business to get all of that legal stuff right. That's why we've taken the time to tell you about the ins and outs of writing a "resolution of members", along with how to find the easiest solution – a legal template.
What is a resolution of members?
A resolution of members is a written document that allows a company to pass simple resolutions and make agreeable decisions without the need to hold a shareholder meeting. Shareholders can maintain control over the company by exercising their voting rights in this way.
When should I use a resolution of members?
While some company decisions remain within the power of the directors, there are several issues where the shareholders also legally have a say in the matter. This can include instances where the directors are changing, certain corporate documents are being altered or the company is being dissolved.
What does a resolution of members include and not include?
A resolution of members should be a concise document that includes only the essential information. The idea of it is to eliminate the need for a large meeting of shareholders, while still giving the correct people the chance to exercise their voting rights.
Key elements to include in the document are when the resolution was made, who the shareholders are, what the resolution is and the signatures of agreement of all members involved.
Resolution of members vs directors resolution
A resolution of members and a directors resolution both enable companies to pass resolutions without having to hold a meeting. The main difference between these two types of resolution is that they involve different people and cover different matters. Whereas a resolution of members must involve the main shareholders in a company and covers more significant structural changes to the company, a directors resolution simply involves the board of directors (usually fewer people) and covers internal matters such as taking on a new contract or authorising a bank loan.
How effective is a resolution of members?
A resolution of members can save a lot of time. It's an effective method of shareholder consent before making any structural changes to the company. Problems can arise when a high percentage of stakeholders disagree with the resolution. That's why a resolution of members is only recommended when addressing changes that are likely to be accepted by everyone.
Do I need a lawyer to send this document?
No, a lawyer isn't wholly necessary to send a resolution of members. It's a relatively simple document, but it can be useful for a legal professional to look over it to make sure the wording is correct and everything is included. To get started straight away, legal templates can be a useful place to start.
Get access to customisable resolution of members templates online
We update our data regularly, but information can change between updates. Confirm details with the provider you're interested in before making a decision.
How do I write a resolution of members?
A resolution of members should be simple and to the point. The document should include essential information, such as:
- Your company name
- The date, time and location of the meeting
- A statement confirming that all shareholders agree to the resolution
- Confirmation that all shareholders necessary are present
- Name of shareholders present
- The number of shares held by each shareholder voting
- Details of the resolution
- Shareholder names and signatures
Where to get free legal documents and templates like a resolution of members
The Internet is teeming with legal resources that you can get your hands on for free or for a small fee. Here are a few places we'd recommend starting your search.
- Lawpath. Lawpath is an online legal resource for small businesses and entrepreneurs. Users can browse free samples on their website but must sign up to access customisation options.
- Law Depot. Law Depot provides a broad array of free online documents to choose from. Quickly fill them in online before downloading the documents straight to your computer.
- LegalVision. LegalVision offers users unlimited use of free legal document templates for a monthly membership fee of $199 or one-off download fee.
- Wonder Legal. Browse more than 140 legal document templates with Wonder Legal, all of which can be purchased for a one-time fee. Although free to browse, it'll cost $4.99 to download and customise a resolution of members template.
More guides on Finder
Share sale agreement templates
Learn about the key points of share sale agreements and find templates you can download and customise to your needs.
Unincorporated joint venture agreement templates
Create a watertight joint venture agreement with the help of a legal template.
Incorporated joint venture agreement templates
Use a customisable template to help ensure your incorporated joint venture agreement is legally sound.
Service delivery agreement templates
How to download and customise a service delivery agreement to quickly protect your business.
Unsecured loan agreement templates
How to craft a legally binding contract with the help of a template.
How to start an auto electrical business
What you need to know if you're looking to launch your own auto electrical company.
Event planning contracts
Use a legal document template to craft an agreement that offers clarity on what's expected from all parties.
Hire agreement template
How to make sure everything's above board if you plan to rent out equipment to your customers.
How to start a not-for-profit organisation in Australia
How to start a not-for-profit organisation that your community can depend on.
Bill of sale (car) templates
Find out how to craft a bill of sale with the help of a customisable template.
Ask an Expert