New Year’s Resolutions for North Carolina Corporations
Before the glow of the New Year wears off, take time to be sure your North Carolina corporation meets the following basic annual corporate legal requirements:
- Hold an annual shareholders’ meeting. It should be held at the time and place set in the corporation’s bylaws and shareholders should be given proper notice. The meeting should be conducted in accordance with the bylaws and North Carolina corporate law. Most importantly, directors should be elected for each director whose term is expiring (and the number of directors allowed by the bylaws should match the number of directors after the election).
- Hold an annual directors’ meeting. Again, give proper notice and conduct the meeting in accordance with the bylaws and the North Carolina corporate law. Appoint officers.
- Review corporate events from the past year. Are there any changes that require the corporation’s articles of incorporation or bylaws to be amended? Were shares issued in the past year that need to be properly documented?
- Mail financial statements specified by North Carolina corporate law, with required certifications, to shareholders within 120 days after the end of the corporation’s fiscal year.
- File annual corporate report with the North Carolina Secretary of State (or Department of Revenue) before the date your North Carolina corporate tax returns are due.
Keeping up with the formalities helps insulate shareholders from personal liability and avoid disputes. Coming next, tips for North Carolina limited liability companies.
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