Skip to main content

What documentation does a corporation have to maintain for corporate to corporate funds transfers and what signatures are needed

Kapolei, HI |

The accounting side does not use wire transfers to transfer funds, but it does go through a bank. The accounting side is understandable, but what about the Corporation? Does the Corporation require a signature from an officer of the corporation to authorize the transfer or is an eMail message sufficient to authorize transfer and does that authorization have to be posted in a journal or some other corporate historical document of the corporation receiving and sending the funds?

Attorney Answers 1

Posted

You should consult with your CPA to ascertain what a "best practice" should be for internal control purposes. Your corporate minute books should at least bear some resolution that someone is authorized to institute wires, etc.

For a number of reasons (OFAC, etc), you should be keeping not only records of your wires but some files on the bona-fides of those to whom you are sending monbey.

The foregoing is not legal advice nor is it in any manner whatsoever meant to create or impute an attorney/client relationship.

Mark as helpful