My question is this: What is the responsibility of the President of a corporation who owns 60%, to the minority owner and Secretary/Treasurer who owns 40% when it comes to financial reports? About 8 months ago communications stopped for some unknown reason, I have requested information from our accountant and received only one monthly statement with no other supporting reports. I would like to know exactly what records I can insist on having on a monthly basis (i.e. monthly financial statements, payroll records, expenditures, check register, inventory, etc.)? This is a small company but has holdings in excess of 4 million in real estate and $600,000 in accounts receivables. Should I call a meeting (something we have not kept up in the past) or contact our accountant and insist on the information I am intitled to? This is a 17 Year relationship and I want to make sure I follow correct procedures, but find out what is going on within my company and protect myself. Again my major question is which financial report can I insist on seeing? Thanks in advance for any information!

It sounds like you are the secretary / treasurer of the company. If this is true your "job title" alone makes all those records available to you. I would first contact the cpa get all records and then find a new CPA.

Second, as an owner of the company with more then 20% you have rights to all records of pretty much everything. Anything and everything that goes on in that business you the right to know. You dont have veto power, but you knew that already.

Good luck.

Check your by-laws and consult your attorney.

In Canada, the shareholders of any business (no matter how small their share), have the right to know about their business's financial records on a regular basis. This includes income statements as well as the annual financial reports, including balance sheets. As a 40% owner, I guess one would consider you to be a major shareholder, or at least you'd be considered as one in Canada. Even if your business isn't public and doesn't owe anything to outsiders in terms of its accountability, please review your legal paperwork in terms of your investment in the company, whether it be as as a private partner or as a shareholder in a public company.

I have to agree with both Coach and Erik. Please check with your attorney and with your local business regulators. This does not sound right, not at all. As a 40% owner, you should definitely not be kept in the dark.