Director FAQs and Essentials

Director FAQ - Advisory Boards

By NACD Staff


Committees and Roles

In brief: Advisory boards offer companies access to specialized expertise and valuable (though nonbinding) advice. Members of these bodies have no legal or fiduciary duties to the companies they serve; therefore, advisory boards are different in scope, operations, and structure from statutory boards. This memo guides companies interested in creating and operating an advisory board.

This resource can help your board

  • Understand the purpose and function of advisory boards

  • Evaluate the benefits and drawbacks of forming an advisory board

Most relevant audiences: the full board, corporate executives

Member-Only Content

For full access, please log in, or explore membership options.