Question

7. Which type of business document do you think you are most likely to use often in your company? Why?

Answer 1

Company bylaws for corporations. Most states require corporations to keep a written record of bylaws, although you don’t need to file the document with a state office. Bylaws define how the company will govern itself. Even if your company is incorporated in the handful of states that don’t require bylaws, they are still a good idea as they spell out your business’ structure, individual roles, and governance issues. For example, bylaws can help settle a dispute on the length of a director’s term or define if you need a simple majority to approve a decision.