An essential guide to understanding the dynamics of a startup'sboard of directorsLet's face it, as founders and entrepreneurs, you have a lot onyour plate--getting to your minimum viable product, developingcustomer interaction, hiring team members, and managing theaccounts/books. Sooner or later, you have a board of directors,three to five (or even seven) Type A personalities who seek yourattention and at times will tell you what to do. While you might behesitant to form a board, establishing an objective outside groupis essential for startups, especially to keep you on track, callyou out when you flail, and in some cases, save you fromyourself.In Startup Boards, Brad Feld--a Boulder,Colorado-based entrepreneur turned-venture capitalist--shareshis experience in this area by talking about the importance ofhaving the right board members on your team and how to manage themwell. Along the way, he shares valuable insights on various aspectsof the board, including how they can support you, help youunderstand your startup's milestones and get to them faster, andhold you accountable.* Details the process of choosing board members, includinginterviewing many people, checking references, and remembering thatthere should be no fear in rejecting a wrong fit* Explores the importance of running great meetings, mixingsocial time with business time, and much more* Recommends being a board member yourself at some otherorganization so you see the other side of the equationEngaging and informative, Startup Boards is a practicalguide to one of the most important pieces of the startuppuzzle.

FOREWORD ixACKNOWLEDGMENTS xiiiPART ONE: OVERVIEW 1CHAPTER ONEIntroduction 3CHAPTER TWOWhat Is a Board? 11PART TWO: BUILDING YOUR BOARD 23CHAPTER THREECreating Your Board 25CHAPTER FOURRecruiting Board Members 49CHAPTER FIVEThe Formal Structure of the Board 63CHAPTER SIXAligning Your Board 71CHAPTER SEVENIs an Advisory Board Useful? 77PART THREE: THE BUSINESS OF THE BOARD MEETING 85CHAPTER EIGHTThe Actual Board Meeting 87CHAPTER NINEMotions and Votes 101CHAPTER TENLegal Challenges 111PART FOUR: COMMUNICATIONS 115CHAPTER ELEVENManaging Ongoing Expectations 117CHAPTER TWELVETrying New Things 131CHAPTER THIRTEENCommunication Confl icts 135CHAPTER FOURTEENCEO Transitions 143PART FIVE: TRANSACTIONS 151CHAPTER FIFTEENFinancings 153CHAPTER SIXTEENSelling a Company 157CHAPTER SEVENTEENGoing Public 167CHAPTER EIGHTEENGoing Out of Business 173CHAPTER NINTEENConclusion 179APPENDIXChecklist 1: Preparing Your Board Package 183Checklist 2: Conducting Your Board's Annual Assessment185Checklist 3: Question for Your Legal Counsel 187Checklist 4: Should You Get Directors and Offi cers Insurance?189Checklist 5: Stock Option Grants and 409A Valuation 191NOTES 195INTERVIEWS 199BIBLIOGRAPHY 201ABOUT THE AUTHORS 203INDEX 205Excerpt from Startup CEO 211