What is a Quorum?
A quorum is the minimum number of directors required to conduct a board meeting. Usually is a quorum is a majority.
How Does a Quorum Work?
Let's assume Company XYZ has 10 board members. Its bylaws state that at least six board members must attend each board meeting for the board to conduct business.
A vacancy on the board does not change the number of directors needed for quorum.
Why Does a Quorum Matter?
In order to conduct business, a board must have a quorum. This ensures the shareholders' interests are adequately represented.
If You Have at Least $3,000 to Invest, then Follow These 3 Steps
- Create a retirement savings goal
- Design an investment plan to reach it.
- Get a professional money manager to continually monitor and rebalance your portfolio
Sound complicated? Don't stress. Vanguard's new robo advisor service can help you put all of this (and more!) on autopilot, all for an annual gross advisory fee of just 0.20%.
Click here to learn more about Vanguard's new Digital Advisor service.
