Directors: Glossary Definition
Definition of Directors:
Directors of a corporation serve on the “Board” and are responsible for oversight of the corporation’s business and affairs. The Board of Directors are elected by the corporation’s stockholders, and, among other things, appoint the corporation’s officers, including its Chief Executive Officer. Typically, the CEO reports to the Board of Directors, and other officers (such as the Chief Financial Officer, Treasurer and Secretary), in turn, report to the CEO. Directors typically set policy for the corporation, approve annual budgets, approve strategies, approve the issuance of stock, the issuance of stock options to employees, hire and set the compensation of the CEO, approve the raising of capital and acquisitions and divestitures.
