Shareholders' Resolution
The general shareholders' meeting resolution (GSM Decision) is the instrument under which the shareholders of a company make decisions on a certain issue, which requires their approval. The decision of the GSM is essential in the corporate governance and decision-making process within a company.
This model decision cand be used for:
Amendment of the company's articles of association: the general shareholders assembly holds the authority to deliberate and decide on amendments to the company’s articles of association, including changes to its name, the scope of its activities, or alterations in its ownership structure.
Approval of the budget and financial statements: the general shareholders’ assembly is empowered to endorse the annual budget of the company and review and authorize financial statements, encompassing the balance sheet, profit and loss statement, and other pertinent financial reports.
Appointment and dismissal of directors: the general shareholders’ meeting retains the prerogative to vote on the appointment or dismissal of directors and other corporate representatives tasked with the day-to-day management of operations.
Dividend declaration: the general shareholders’ meeting is vested with the authority to determine the allocation of dividends to shareholders and establish dividend amounts based on the company's earnings.
Authorization of mergers, divisions, or dissolution: the general assembly is empowered to deliberate on mergers or divisions with other entities, as well as the dissolution of the company if deemed necessary.
Adoption of overarching policies and strategies: members convened at the general assembly have the authority to ratify broad company policies and strategic frameworks, such as those pertaining to human resources, investment, or long-term developmental strategies.