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a general power of attorney is a document that enables someone to conduct business or make decisions on another persons behalf general powers of attorney also called financial powers of attorney can be very helpful for people who may be traveling or otherwise unavailable when a time-sensitive business matter emerges even if you are otherwise available powers of attorney can be useful and time-saving methods of empowering people with more experience or expertise to make critical financial decisions that would normally require your consent or signature lets take a look at these powerful documents to see when you might need one and what to keep in mind when creating one how do general powers of attorney work a general power of attorney involves one party called the principal designating another party usually called an agent to act on their behalf you may also hear an agent referred to as an attorney in fact despite this the agent doesnt have to be a lawyer who is sometimes called an at