Document background
The Board Resolution Approving Financial Statements is a mandatory corporate document required under Saudi Arabian law for all companies registered in the Kingdom. It is typically prepared annually following the completion of the company's financial year and external audit. The resolution demonstrates compliance with Articles 128-133 of the Saudi Companies Law, which requires boards to approve financial statements within four months of the fiscal year end. For listed companies, additional requirements from the Capital Market Authority must be incorporated. The document serves as official evidence of the board's review and approval of financial statements, including their assertion of the statements' accuracy and compliance with Saudi accounting standards (SOCPA). This resolution is crucial for corporate governance and is often required for submission to various authorities including the Ministry of Commerce, CMA (for listed companies), and ZATCA.
