Category: Minute Taking

Why Minutes Matter

A question we often get is, “Does my company need to take official minutes?”

The short answer is “yes”.

Consider an energetic start-up we will call Company X, which recently contacted us with a predicament. Over the course of 36 months, Company X had been busy building value and turning the heads of some significant industry competitors. The atmosphere was nimble and frenzied. The board of directors and shareholders held countless meetings and growth was rapid.

Everything was moving in the right direction, and up stepped a potential buyer that, in practicing due diligence, requested Company X’s minutes. Regrettably, Company X couldn’t deliver.

Amidst all the booming business and chaos of running a start-up, nobody at the firm had considered the importance of taking (and keeping) proper minutes in a centralized, easy-to-access platform. The prospective investor was unwilling to commit millions of dollars to a corporation that did not have a proper maintenance record of its history. But after the fact, nothing could be done morally or ethically to satisfy the request.

So the deal fell through.

That’s a particularly painful way to learn that most for-profit and non-profit entities in Canada and the U.S. must maintain corporate records including official meeting minutes – they are often mandated by law. Legislation aside, meeting minutes can be used as a roadmap for an organization — what takes place in meetings often addresses what has happened in the past and determines the entity’s direction moving forward.

Over time, minutes serve as a history of an organization — sometimes the only unbiased, officially recorded one. Even through the turnover of staff or directors, documented meetings may be the sole objective reference of an entity’s development. As we all know, memory can not only be fickle, but biased as well. It is therefore critical that all corporations — be they for-profit or non-profit — know what kind of record-keeping is required under the legislation that governs their industry and that they formalize a method of taking minutes, either internally or via a professional third party.

Company X’s cautionary tale demonstrates that while minute taking may seem mundane, overlooking this crucial – and often mandatory — job can result in paying a high financial price.

For any questions, please don’t hesitate to contact Minutes Solutions.

Minute Taking – What Are The Options?

In a corporate world where minute taking and prudent record keeping are paramount, we often get the question: “What are my options?” There are several — but ignoring the notion altogether is not one of them.

As we’ve mentioned in previous articles, minutes serve as a “maintenance record” for your organization. Whether you belong to a non-profit, an association, a corporation or a condo community, the importance of minutes remains consistent. Not only do minutes serve as a record of what has been done and a map of the road ahead, they are also mandated by legislation. Not taking minutes can come with consequences.

Often the secretary of the board takes the minutes, but when that officer also needs to participate in the meeting, managing both tasks can be overwhelming and ineffective. This is where hiring a professional, third-party minute taker serves a very practical purpose.

Let’s look at the options.

In-person: Corporations seeking a third-party recording secretary can hire someone — whether an individual or from a company — to physically attend the meeting and objectively capture the salient points. An in-person minute taker has benefits: meeting participants observe that someone is encapsulating the discussion and questions can be asked. However, depending on the location, a trained, third-party minute taker may be difficult to find.

Dial-in: For clients in less densely populated areas, where professional minute takers may be scarce, dial-in can be a practical solution. A recording secretary who dials into the meeting virtually, from anywhere, gets around the logistics of needing to hire a qualified individual locally. Although some corporations find comfort in having the minute taker present — since body language and physical presence can lend nuance to discussions — this virtual solution is comprehensive. To have the minutes done properly, the clarity of the dial-in connection is imperative and scheduling in advance is still necessary since the minute taker must call in at the client’s appointed meeting time.

Recording: For corporations that hold either very frequent or impromptu meetings, the importance of having them transcribed remains the same. This is where having the minutes taken from a recording is the most sensible solution.

The chair announces at the start of the proceedings that the meeting is being audio recorded with the purpose of having it minuted. After the meeting, the recording can be sent via a variety of methods to a minute taker who turns it into a comprehensive set of minutes to submit to the client. As with the dial-in option, it is imperative that the recording is good quality and can be deciphered by a third party. If certain people or comments need to be identified, the speaker must state that. Holding a meeting in this manner may take some getting used to, but we find that after a short period of adjustment, clients appreciate the flexibility this option offers.

Strong fundamentals are key: Regardless of which method you employ, it’s wise to ask whoever you hire specific questions to ensure your preferences and needs are considered and everyone is on the same page. The minutes can only be as good as the group allows them to be: ensure the meeting has a strong agenda and that participants speak clearly, and acknowledge that an objective third party is distilling the conversation to provide you with a quality set of minutes.

Choosing a Minute Taker

Minute taking can be a daunting task but it needs to be done to keep proper records of a board’s decisions and to serve as a road map of past, present and future plans.

A board member or property manager is frequently tasked with taking the minutes, however, this can disrupt the flow of a meeting as it prevents the assigned minute taker from actively participating in the discussion. This can also cause the minutes to be subjective instead of objective and unbiased. It takes a specialized group of skills – and often proper training – to understand how to put together a clear, concise and objective set of minutes.

A lot of light has been shed on the importance of taking and keeping minutes recently. If a board lacks a designated, detached minute taker who isn’t required to actively participate in the meeting, a good solution is hiring a third-party minute-taking company. In that case, there are options.

Three good questions to ask the minute taking company you are vetting:

1.       Can you provide three recent referrals?

2.       How do I know the individual you are sending into my meeting is qualified?

3.       How quick is your turnaround time for a completed set of minutes?

For all your questions about minute taking and everything involved, contacting Minutes Solutions may be your first step to a stress-free solution.

Know Your Minute Taker

Minute taking can be a daunting task but it needs to be done to keep proper records of a board’s decisions and to serve as a road map of past, present and future plans.

A board member is frequently tasked with taking the minutes, however, this can disrupt the flow of a meeting as it prevents the assigned minute taker from actively participating in the discussion. This can also cause the minutes to be subjective instead of objective and unbiased. It takes a specialized group of skills – and often proper training – to understand how to put together a clear, concise and objective set of minutes.

A lot of light has been shed on the importance of taking and keeping minutes recently. If a board lacks a designated, detached minute taker who isn’t required to actively participate in the meeting, a good solution is hiring a third-party minute-taking company. In that case, there are options.

Three good questions to ask the minute taking company you are vetting:

  1. Can you provide three recent referrals?
  2. How do I know the individual taking my meeting minutes is qualified?
  3. How quick is your turnaround time for a completed set of minutes?

 

For all your questions about minute taking and everything involved, contacting Minutes Solutions may be your first step to a stress-free solution.