# Board seat

A voting place on the board that governs the company you bought.

An observer watches and a director decides, and the gap between them is the whole of it: directors hire and fire the chief executive, approve the budget and the debt, and carry duties to the company that an observer does not. So the number of seats and who fills them is a control question, negotiated alongside the money and hard to reopen afterwards. Count the votes, not the people, and ask what needs board approval before you sign, because a short list of reserved matters can hand back most of what the seat count gave you.

In numbers: On a five-seat board where investors hold three, a 60% bloc can replace you without a single other vote.

Source: https://searchspheresource.com/glossary/board-seat
Not dated: A definition is editorial: what a term means, why it matters, and an example. None of it reads a source that can go stale, so there is no date to take and a stamped one would be the build time wearing a costume.

Site index for machines: https://searchspheresource.com/llms.txt