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Most states require notice of any shareholder meeting be mailed to all shareholders at least 10 days prior to the meeting. The notice should contain the date, time and location of the meeting as well as an agenda or explanation of the topics to be discussed.
Key Takeaways. An annual general meeting (AGM) is the yearly gathering of a company's interested shareholders. At an annual general meeting (AGM), directors of the company present the company's financial performance and shareholders vote on the issues at hand.
A General Meeting is simply a meeting of shareholders and 21 days' notice must be given to shareholders, but this can be reduced to 14 days, or increased to 28 days, in certain situations.
The primary purpose of annual meetings is to allow shareholders to elect the directors responsible for overseeing the company and its strategic direction. Shareholders may also be asked to vote on matters proposed by management or other shareholders.
In order to have a legal meeting you must have a quorum of shareholders present. Typically, a quorum is defined as a representative of more than half of all shares outstanding. There are many other items that can be included on the agenda for an annual shareholder meeting.
601. (a) Whenever shareholders are required or permitted to take any action at a meeting a written notice of the meeting shall be given not less than 10 (or, if sent by third-class mail, 30) nor more than 60 days before the date of the meeting to each shareholder entitled to vote thereat.
During the meeting, shareholders review and discuss company performance, consider proposed changes to the company's strategy, and vote on resolutions. Depending on the size of the company, the format of the shareholder meeting may vary, but the purpose is the same.
What is an Annual General Meeting? An AGM is a formal, mandatory meeting held once per year. A report is presented by the company directors, to all company members and shareholders. The meeting is an opportunity for these interested parties to discuss company affairs over the last year.