I recently completed the Columbia Business School’s Corporate Governance Program, a rigorous training grounded in decades of corporate case studies and the wisdom of seasoned directors. I left with a much deeper sense of what it truly means to serve on a board. This is not simply an honor. It is not a line on your resume. It is a role defined by stewardship, judgment and accountability.
If your primary reason for joining a board is to build your CV, you are doing a disservice to the shareholders you are meant to represent, and you may be walking into a minefield without a map. The directors of Theranos and Silicon Valley Bank did not all act with malice. Some were simply unprepared for the responsibility. In a crisis, your name and reputation are on the line. The real question is not just whether the company wants you. It is whether you should want the company.
Before accepting your next board invitation, you need to conduct thorough due diligence on the company and, more importantly, on yourself. Remember, you are not just joining a company. You are entering a culture, inheriting a history and assuming real liability.
To make sure you are walking into the boardroom with your eyes wide open, here are eight questions, drawn from the Columbia framework, that every prospective director should ask honestly before saying yes.
1. Why Do You Really Want This Board Seat? Be Honest.
Do you genuinely believe in the company, feel excited about the industry and want to apply your skills to help it succeed? Or are you mostly attracted by the title, the money or the prestige?
Fred Marcusa, managing partner at Marcusa Global Advisors, puts it plainly: most people are not brutally honest with themselves, and too many board decisions are driven by ego.
That kind of self-awareness is rare, but it’s exactly what separates board members who add real value from those who are simply collecting seats.
2. What Are The Potential Risks of Serving On This Board?
Serving on a board will cost you more than just time. It can also put your reputation, and potentially some or all of your net worth, at risk. Directors can face lawsuits, regulatory scrutiny and public criticism. D&O insurance and indemnification provide important protection, but they do not cover everything and do not eliminate risk. Legal fees is real even when you have done nothing wrong.
In 2016, Tesla shareholders sued Elon Musk and Tesla’s board over the SolarCity acquisition. They alleged that the deal amounted to a bailout of a struggling company owned by Musk and his cousins, and that the board breached its duty of loyalty by approving a transaction that benefited Musk at Tesla’s expense. The board members later settled for $60 million, paid by D&O insurance, to avoid trial. Whatever one thinks of the merits, the case is a vivid reminder of how quickly questions of corporate governance and fiduciary duty can become expensive, public and personal.
3. Private vs Public Board, Choosing Your First Board
If you are new to board service, starting with a private-company board may be worth considering. The environment is often more informal, and you are generally not exposed to the same level of public scrutiny that comes with serving on the board of a listed company.
That said, many private boards are founder-led or family-controlled businesses, which can change the dynamics considerably. Gonzalve Bich, board member and former CEO of BIC, has noted from experience that in a family business, boardroom conversations do not always stay in the boardroom. You may find yourself navigating family relationships and personal dynamics alongside company strategy.
4. What Is The Reputation Of The Company And Its CEO?
Does the company hold a strong position in its industry? Is it operating under financial, regulatory, or political pressure? Does the CEO have a track record of pushing ethical boundaries? Ask specifically about pending litigation, active regulatory inquiries and any known government-relations issues. Then ask what the board is doing about them.
Some board members are drawn to chaos, complexity and turnaround situations, and that is perfectly fine. Just remember that once you join, the company’s reputation becomes part of yours, whether you like it or not.
5. Why Is This Board Seat Open?
Ask directly and expect a clear answer. If the board seat is open because the previous director was quietly pushed out for asking too many questions, you need to know. If you are being recruited because the company genuinely needs your specific skill set, that signals something entirely different.
You should also ask to speak with your predecessor. If the company is hesitant to make that introduction, treat it as a warning sign.
6. Why You and What Does the Company Think You Can Bring?
A company that is serious about its board should be able to tell you, specifically, why it wants you. Is it your industry knowledge, public-company experience, technology expertise or global relationships? If it cannot answer that question clearly, pay attention.
But the more important question you need to answer: do your skills truly fulfill what they are looking for, or are you being recruited because the company believes you will be a rubber stamp? The fit is what separates a rewarding board experience from a frustrating one.
7. What Is The Board Culture And What Are The Power Dynamics?
Does this board truly govern, or does it merely approve? Ask how decisions are actually made in the boardroom. Does the CEO genuinely value the counsel and judgment of directors? Is the board chair setting the agenda in a meaningful way? Who tends to go along with management, and which directors are willing to push, challenge and ask uncomfortable questions?
Steve Girsky, managing partner at VectoIQ and a former board member at General Motors and U.S. Steel, advises prospective directors to ask to review prior board minutes and financial statements. Every board has a history, and you need to understand that history before you join.
8. Is This Board Ready For AI — And Honest About What It Is Missing?
AI stands out as one of the most urgent gaps on many boards today. Vasant Prabhu, former vice chairman and chief financial officer of Visa, put it well: “What AI is doing to software companies is similar to what the internet did to publishing.”
A board can look impressive on paper and still be missing exactly what the company needs most. In many cases, board members across corporate America still have little firsthand experience using AI.
The Privilege Carries Weight
Serving on a board of directors is one of the highest callings in a professional career. It requires a steward’s heart and a skeptic’s mind.
A board seat is not a trophy. It is a responsibility to shareholders, employees and the integrity of the company you are being asked to help steward. The next time an invitation arrives, do yourself and the company a favor: answer these questions before you respond. The most important word in corporate governance is not “yes.” It is “why.”
