@article {Gelfond27, author = {Stuart Gelfond and Robert Schwenkel and Hayley Cohen}, title = {Private Company Boards}, volume = {20}, number = {3}, pages = {27--31}, year = {2017}, doi = {10.3905/jpe.2017.20.3.027}, publisher = {Institutional Investor Journals Umbrella}, abstract = {The board of directors of a company functions as stewards of the company, whether public or private. The responsibilities of a board of directors of a private company include, but are not limited to: 1) selection and oversight of the company{\textquoteright}s management, 2) setting strategy and monitoring the company{\textquoteright}s financial performance and forward-looking business planning, 3) setting executive compensation and adopting benefits programs, 4) preparing the company for a future IPO or sale, and 5) identifying, ameliorating, and monitoring the risks associated with the company{\textquoteright}s business activities. To fulfill these responsibilities, the current trend is for private companies to implement a more formalized governance structure for the board of directors, in many cases similar to those implemented by public companies.TOPICS: Private equity, legal/regulatory/public policy, equity portfolio management}, issn = {1096-5572}, URL = {https://jpe.pm-research.com/content/20/3/27}, eprint = {https://jpe.pm-research.com/content/20/3/27.full.pdf}, journal = {The Journal of Private Equity (Retired)} }