Board of directors?

Question

Who elects the board of directors? Who nominates individuals to serve on the board of directors? What is the relationship between the board of directors and the president of the corporation?

Answer 1

There are special procedures for the initial formation of a board of directors. But in an existing company, directors are nominated by shareholders and elected by them at the annual meeting of the company.

The president of the corporation is an employee of and reports to the board and can be hired and fired by it. Officers of the corporation may also be members of the board and the president may be the chairman of the board. But the president and officers are still employees of the board.