Startup words, jargon and slang, business english

What is a Board of Directors?

A board (of directors) is the ‘legislative’ branch of a startup, which discusses overall policies concerning the corporate management such as: issuing stocks, handling ESOP or allowing fundraising rounds regularly. Every board member has their own board seat, with the respective voting power – depending on how many shares they own in said company.

Legally every startup is required to have a board right after its official foundation. The board doesn’t have to be complicated, it can include just one person, for example, the founder.

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