Board of directors

How it is used

Startup boards are small: often the founders, one or two investors and sometimes an independent member. People talk about a board seat, a board meeting, board approval and an observer seat, which allows someone to attend without voting. Founders prepare a board deck before each meeting.

Example sentences

1. The board of directors approved the new budget and two senior hires.

2. After the Series A, our board of directors has five members: three founders and two investors.

Common collocations

• board seat
• board meeting
• board approval
• independent director
• observer seat

Related terms

• lead investorThe investor who puts the largest amount into a funding round, sets the main terms and often encourages other investors to join.
• shareholders' agreementA contract between the owners of a company that sets out their rights and duties, such as voting, selling shares, board seats and investor protections.
• advisorAn experienced person who gives a startup regular advice and introductions, often in exchange for a small amount of equity rather than a salary.
• investor updateA regular report, usually a monthly or quarterly email, in which founders share key numbers, progress, problems and requests with their investors.

This word in other fields

The same English word can have a different meaning in another field:

• board of directors · Business English
• board of directors · Management & Leadership
• board of directors · Contract & Commercial Law

More terms: Legal Setup & Governance

• incorporate
• limited liability company
• founders' agreement
• intellectual property
• NDA