Acting as an agent of a power of attorney gives you the responsibility to make decisions on behave of another person. How much power you have to make decisions on this person's behave all depends on the nature and scope of the power of attorney. This may include making health decisions, business decisions, managing this individual's finances, selling property, or more.
If you are individual that wants someone to be an agent, but you only want them to handle a specific aspect if you become unable to make your own decisions, then a special power of attorney will allow that. You can specify exactly what powers that this agent can exercise.
If you want this individual to have broad powers, for example the ability to hire or fire someone, then you will want to obtain a general power of attorney document.
When you assign someone as an agent for a power of attorney, you must sign and notarize the original document. You must certify several copies, and bring these copies to the bank or other businesses in order for this individual to exercise their power.
A business owner can grant you as a power of attorney to run all of his or her business or just a portion of it. This may include signing checks, making business decisions, and handling this person's finances. It will be important to make sure that the bank has the power of attorney on file. The branch in which you would conduct the most business should also have the power of attorney file. If all you need to do as the power of attorney is make sure that bills are paid, it could be easier for this individual to just take you to the bank to be named as a signatory. This will just give you access to financial transactions from this specific account.
If the business is run by a board of directors, then it might not be advisable or may become more complicated to have a power of attorney document. Usually in a case like this, the board of directors will appoint a chief financial officer. This person will need to write checks for the corporation, but lack the authority to designate someone as a bank signatory. In a case like this, the board would just assign this job to another individual.
When getting a power of attorney document, it is important to understand your state's laws. You will also want to make sure that this agent understands their limitations. You will definitely want to make sure the agent you assign is someone that you really trust, respects you, and will make decisions based on what you would have wanted. Having a power of attorney is important part of estate planning that you will want to consider, especially if you own a business.
Estate plan with Palacios Law Group today!