How to Form a Board of Directors

Video Transcript

"You have just incorporated a business and now you have got to put together a board of directors. Hello, I'm Robert Todd, and I'm here to answer the question, how to form a board of directors? Well first of all, what governs a board of directors is generally state laws and it's going to vary from state to state, so you want to first check your particular state statutes involving corporations and what's required with board of directors. The next thing is, consider this as both a legal and a practical question. The bylaws in your particular corporation are going to determine the number of directors you can have, the length of terms that these board of directors are going to serve and the particular office or positions, and when meetings are going to be held, and you're going to have to comply with particular bi-laws of your corporation. And from a practical standpoint, when you want to invite individuals to become board members, you want to think, do I need financial savvy, get an accountant, do I need someone that's good with personnel, get a good human resource person, and these are the types of considerations to consider. I'm Robert Todd, and thank you for watching."