Inside directors typically include a company's top executives such as the chief operating officer, the chief financial officer, and the chief operating officer, as well as representatives of major shareholders and lenders, and representatives of other stakeholders such as labor unions.
Oftentimes, an institutional investor that is considering making a sizable investment in a company will insist on the appointment of one or more of the investor's representatives to the company's board of directors as a condition of such investment.
Investment dictionary. Academic. 2012.
Look at other dictionaries:
Inside director — An inside director is a member of the Board of Directors of a corporation who is also a member of the corporation s management, almost always a corporate officer. For example, a Chief Executive Officer who is also Chairman of the Board would be… … Wikipedia
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