The general director of a firm has the right to conclude transactions on behalf of his organization only if the transaction is not recognized as major. A major transaction will be any transaction related to the acquisition of property, the value of which exceeds 1/4 of the value of the entire organization.
Instructions
Step 1
To determine if the transaction is major, compare the value of the property being acquired with the carrying amount of all existing assets in your organization at the most recent reporting date (based on accounting records). You are also obliged to conduct an independent examination of the assets of your organization (in the case of a CJSC).
Step 2
If your organization enters into transactions in the normal course of business, then even if the cost of purchases is exceeded or 1/4 of the total value of the enterprise is received, the transaction is not recognized as major.
Step 3
If the future transaction meets the criteria for a major one, inform all co-owners of the legal entity (shareholders) in advance and get their approval for its execution. Or hold a general meeting of the founders or the board of directors to approve this transaction, since usually only this procedure can be provided for by the statutory documents in the event that your legal entity is registered as an LLC.
Step 4
Based on the results of the meeting of shareholders, founders or the board of directors, a protocol must be drawn up no later than 5 days after its completion and the approval or prohibition of the transaction. The minutes are signed by the chairman (general director) and the secretary. In addition, this document can be signed by other officials, if it is indicated in the charter of the organization.
Step 5
If you have received consent to a major transaction, instruct the chief accountant to collect all the necessary documents for its conclusion and issue them with state registration authorities. In order for the chief accountant to act in accordance with the powers allocated to him, issue a power of attorney for him to conclude a transaction, signed by you and certified by a notary.
Step 6
Please note that a major transaction that violates legal requirements may be invalidated.
