May 15th 2023
When considering starting a business and incorporating there are several advantages to Virtual Minute Books. Under the Ontario Business Corporation Act R.S.O 1990 it is required that corporations maintain accurate records. Minute Books contain a record of a company's resolutions, Shareholder Registers, Director Registers, Officer Registers, Shareholder Agreements, Forms Filed and other valuable documents.
In the past, physical Minute Books were the norm, traditionally consisting of a binder containing all the important documents related to the company's operations. With the rise of technology, Virtual Minute Books have become an increasingly popular option for Ontario businesses. Virtual Minute Books are electronic records that are stored securely in the cloud, and they offer several benefits over their physical counterparts.
Physical Minute Books can be difficult to access, as they may be stored in a secure location. With Virtual Minute Books, authorized users can access the records from anywhere with an internet connection. Storing and organizing paper documents can be time-consuming and expensive, as it requires physical storage space and a system for categorizing and retrieving records, and manual review of years of corporate records to find necessary information. Virtual Minute Books, are stored electronically in the cloud, which eliminates the need for physical storage space and makes it easier to search, sort, and retrieve records.
Physical Minute Books can be lost, misplaced, damaged or stolen, all of which creates risks for a business. Virtual Minute Book are stored securely in the cloud and can only be accessed by authorized personnel. Virtual Minute Books also help businesses more easily comply with legal requirements under the Ontario Business Corporation Act R.S.O 1990 by allowing your lawyers to access your corporate documents and file Annual Returns more easily on your behalf.
Lastly, third parties such as accountants, bankers, purchasers, or review agencies will at times need access to your corporate records. Virtual Minute Books allow you to share your Minute Book more easily with third parties.
As you can see there are many benefits to Virtual Minute Books when incorporating a new business. Liddiard Law Professional Corporation is more than happy to assist and offer Virtual Minute Books. We are a phone call and a link away from your Virtual Minute Book at your fingertips.
Brock A. Buckley, LLB
NCA Student, Corporate, Real Estate
Commissioner of Oaths
Office: (905) 374-1617 ext 304