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Painting Biz Owners: Learn the Key Differences Between a Board of Advisors & a Board of Directors.

Name: Painting Biz Owners: Learn the Key Differences Between a Board of Advisors & a Board of Directors.
Uploaded: 2024-09-19T13:15:04+00:00
Duration: 59 s
Channel: Daniel Honan
Description: This content was created by balanced-griffin. This content was uploaded by balanced-griffin. This is a YouTube video titled "Painting Biz Owners: Learn…

19 Sept 2024 · 1 min

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This content was created by balanced-griffin. This content was uploaded by balanced-griffin. This is a YouTube video titled "Painting Biz Owners: Learn the Key Differences Between a Board of Advisors & a Board of Directors." The excerpt is an English dialog between two speakers (labeled SPEAKER A and SPEAKER B) explaining for painting business owners the distinction between boards of directors (external to management) and boards of advisors (advisory role, similar function with different legal name), and how these apply to different business structures (S corps, LLCs, sole proprietorships, partnerships). Metadata: created 2024-09-19T13:15:04Z, last edited 2026-04-23T01:11:16Z, content type YOUTUBE.

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business owners, we don't just have friends who give us advice. We have boards that give us advice. If we are a shareholder in a corporation, that includes S corps, LLCs taxed as S corps, we have a board of directors just like any other corporation would. If we are a sole proprietorship or a multi-member LLC taxed as a partnership, we have a board of advisors. The only difference between the advisors and the directors is the name, a little bit of a legal thing, but both these boards serve as our trusted advisors.
Corporations have board of directors where the board of directors is outside of management. Management is running the day-to-day operations. You and your business right now, you are management. Board of directors would be group people outside of you. Big corporate businesses, they have this set up already. So they have a board of advisors who advises management on how to run the day-to-day operations, but they're not actually doing any of the things in the business. They're not doing marketing, sales, accounting. They're just giving advice.