Board of Director Compensation Survey

Making all the decisions that apply to creating a board of directors can be difficult. How many members do you want? Who should you ask? There are several such questions that must be dealt with before holding your first board meeting. We would like to offer some advice about how to form your board. After creating an intelligent, capable team, we will also be able to assist with compensating these individuals.

Here are a few tips to keep in mind:

Contact people you know you can trust with important business matters
Hire individuals you can learn from
Determine ahead of time how often you would like to hold meetings
Choose colleagues from a diverse business background
Do not be afraid to pick someone who will challenge decisions
Decide which positions need to be filled (chairman, secretary, treasurer, committee chairs)

After deciding who will be on the board and fill which positions, it is time to start thinking about compensating these individuals. Generally speaking, most of the individuals who make up any board will have all the cash they need. They are not going to join your board just for the sake of an extra pay check. You will need to be creative with how you structure their payments, because they will need to be compensated for their work.

Every year we conduct thorough board of director compensation survey research. We investigate what members are paid and what form the payments take. When your company hires our firm to assist with creating a payment system, we use the information gathered from the board of director compensation survey to teach you what other similar boards are receiving. You will know what bonuses and non-cash compensation to offer. Use our expertise to show your team of experts that their time and effort is appreciated.