Pittsburgh Technical Council

Picking the Right Board of Directors

Picking the Right Board of Directors

Article Published: October 21, 2015

By Jennifer Minter | Buchanan Ingersoll & Rooney - Co-Chair, Securities & SEC Practice Group

With the myriad of tasks faced by the founders of a start-up, the composition of the company’s board of directors often gets put on the back burner, at least until the time when the company seeks outside capital, at which time it often becomes a significant issue. Putting aside some time to thoughtfully consider who should comprise your board can reap benefits in the long-term, even if the role played by your board seems minimal in the near term.

At its most basic, a board of directors makes non-ordinary course decisions for the advancement and benefit of the company, on behalf of its stockholders. A board of directors is required by law if you are a corporation and potential investors expect that there will be a body that acts like a board of directors whether required by law or not.

The primary issues faced by start-ups in connection with their boards are determining whom to put onto the board, figuring out the right size for current operations and future growth, and deciding what compensation (if any) to pay to board members for their service. Read the full article and learn more about each of these issues at Buchanan Ingersoll & Rooney’s blog Startup In-Formation.

Other Articles That May Interest You:

Sign In or Join Up