TRUTH 31 Board of directors
The need for a board of directors depends on the type of business you start. If your business starts as a corporation, it is legally required to have a board of directors. A board of directors is a panel of individuals elected by a corporation’s shareholders to oversee the management of the firm. In an early-stage firm or a small firm, the board may be restricted to the principles running the firm. In these instances, the board serves little more than a legal function. In other instances, however, the board plays an active role in the management and oversight of the business.
Technically, a board of directors has three responsibilities: (1) appoint the firm’s officers, (2) declare dividends, and (3) oversee ...
Get The Truth About Starting a Business now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
