Overview of Singapore Company’s Annual General Meeting
It is important for the company in Singapore to hold a number of legal meetings which are mandatory for the company. These meetings are governed by the Company law in Singapore along with the Constitution of the company.
There are many companies who are different in their sizes along with having different members and shareholders. They are also different in respect of the constitution. The format of their meeting is also different and on the other hand law provides it basic statutory requirements along with formats for holding these meetings.
Holding an AGM in Singapore
The Company meetings are divided into 2 categories which will cover down shareholders meetings along with the directors meetings.
Singapore Company’s AGM is conducted by the company every year at a particular time. This meeting is known by the name as AGM which will give the shareholders of the company a right to participate in the decisions of the company. The main motive of the company is to consider the financial statement of the company in the AGM meeting.
The Importance of Financial Statement for AGM
It is important for the public companies that they should conduct the meeting. But this meeting is not important for the private companies.
It is important for the public company to present the financial statements of the company along with approving other transactions of the company which is important on the side of the public company.
The financial statement which is presented should give the true and fair view about financial performance. The shareholders on the other hand will have to adopt the financial statements on the basis of majority.
The time is also allotted to the company to present the financial statements at the AGM which should be within 4 months from the period where the financial period ends in case of a public listed company. It should be different from other companies which should be in between 6 months from where the financial year ends.
Documents Presented during an AGM
The Chairman of the AGM is responsible for presenting important documents of the company.
- Financial statements
- Balance sheets
- Director’s report
- Auditor’s report
- Future planning to expand the business
- Any significant amendments in the policies for the benefit of the company
The following documents are sent with the notice of AGM to other members of the company whose presence is required in the meeting. This will help the members to prepare the questions to solve their queries.
Penalties for Failing to Hold AGM
It is the most important meeting conducted every year. The companies which have been asked by ACRA to hold the meeting will definitely organize the meeting under the supervision of all the chief members of the company.
The companies pay heavy penalties for failing to hold AGM. Thus, it is mandatory for all the companies to abide by the rules of ACRA otherwise the certification of the company gets cancelled.
The Singaporean government imposes heavy fees for the renewal of the company certification. The date of the meeting is declared by ACRA while filling the company’s return. The companies which are exempted from the annual meeting are required to submit the details of the return while filing the return.