Definition

Board of Advisers

A board of advisers/Advisory board is a panel of experts asked by a firm’s management to provide counsel and advice on an ongoing basis. Unlike a board of directors, board of advisers possess no legal responsibility for the firm and gives nonbinding advice. As a result, more people are willing to serve on company’s board of advisers than on its board of directors because it requires less time and no legal liability is involved. A board of advisers can be established for general purposes or can be set up to address a specific issue or need. For example, some start-ups ser up customer advisory boards shortly after they are founded to help them fine-tune their initial offerings.

Share it:  Cite

More from this Section

  • Private accountant
    An accountant working in any position not included in public accounting; may work in management ...
  • Managerial capacity problem
    When a firm’s managerial resources are insufficient to take advantage of its new product ...
  • Elaboration
    Elaboration is the stage during which the creative idea is put into a final form: The ...
  • Copyright
    A copyright is a form of intellectual property protection that grants to the owner of ...
  • Board of Directors
    A board of directors is a panel of individuals elected by a corporation’s shareholders ...