I see both the terms being use many times synonymously. Are both paid equity and/or salary?
What are their roles or duties.
Tell me more
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A board of directors is a group elected by owners of a business (stockholders) to govern the affairs of an organization. Directors are not paid a salary. It is part of their regular job responsibility, whether internal or external to the company. An advisor is someone outside the company who advises on best practices and has industry contacts and experience. Will typically who hold an equity share as compensation. Advisors don't have decision-making authority in the company. |
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At least in Denmark, there is one essential difference. If you are an attorney and sit in the board of directors of a company that does something obviously illegal, you could be charged as a private person, because you did not act on this when you should have. This will, however, not be the case if you were a part of the Board of Advisors as they are not expected to know the business in any detail. I do not know whether there is similar legislation in other countries, but it would not surprise me. |
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