Annual General Meeting (AGM)

MoneyBestPal Team
A yearly meeting between an organization and its shareholders or members.

An annual general meeting (AGM) is a yearly meeting between an organization and its shareholders or members. It is a significant chance for the organization to outline its accomplishments, difficulties, and long-term goals. 

The opportunity to ask questions, express comments, and cast votes on certain issues is also available to the shareholders or members.

Depending on the laws and regulations of the country where the organization operates, the AGM is often held within a specific time frame following the end of the financial year. The organization is required to offer the shareholders or members sufficient notice and pertinent materials, including the annual report, the financial statements, and the agenda.

The Annual General Meeting (AGM) is overseen by the organization's chairperson. This individual may be elected by the members or appointed by the board of directors. Their role is to ensure that the meeting adheres to the rules and procedures laid out in the organization's constitution or bylaws. Additionally, the chairperson will help guide the conversation and voting process for any resolutions presented.

The AGM typically covers the following topics:
  • The approval of the minutes of the previous AGM
  • The presentation of the annual report and the financial statements by the board of directors or management
  • The appointment or reappointment of auditors
  • The election or re-election of directors
  • The declaration of dividends or distribution of profits
  • The amendment of the constitution or bylaws
  • Any other business that may be raised by the shareholders or members

Stakeholder involvement and strong company governance are both dependent on the AGM. It enables the organization to show its shareholders or members that it is accountable, transparent, and performing well. Additionally, it enables the shareholders or members to exercise their rights and have a say in the organization's course and strategy.