Glossary
What Is a Boardroom?
A boardroom is the room in which a company's board of directors meets. In everyday business language the word carries a second meaning: "the boardroom" is used as shorthand for the board itself and for the decisions it takes on behalf of the company.
What happens in a boardroom
Boards meet to decide matters that sit above day-to-day management: appointing and removing directors, approving annual accounts, authorising bank accounts and major contracts, issuing shares, and setting the direction of the business. Attendance is normally limited to the directors, the company secretary, and any advisers invited for a specific item.
Why the record matters more than the room
In most jurisdictions the legal weight sits not in the meeting but in what is written down afterwards. Minutes and board resolutions are the documents a bank, a registrar or an auditor will ask to see. In Hong Kong and Singapore, written resolutions signed by all directors carry the same effect as a meeting — which is why many companies with directors in different countries never use a physical boardroom at all.
Boardrooms in international structures
Where a company is incorporated determines what its board may decide, how often it must meet, and what must be filed. A Hong Kong private limited company, a Singapore Pte. Ltd. and a US LLC each answer that question differently.
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Frequently Asked Questions
- Is a boardroom required by law?
- No. What company law requires are valid board decisions and a proper record of them. Where the directors are physically located, or whether they meet at all, is a separate question that depends on the jurisdiction.
- Who may attend a board meeting?
- The directors, and normally the company secretary who keeps the record. Others attend by invitation and usually only for the item that concerns them.