Our Two Hats
My advice would be this – I have learnt a simple rule. Segment the roles in your mind.
Critically think which functions and decisions all in which role. In other words, is it an operational issue ? Then it is a decision for a director forum. If it is an investment question – then it is about shareholding and falls there.
Now, let’s talk about loyalties…
Well, the only loyalty a director should have is to the company. Directors must act in the best interests of a company. Where directors fail to do so, they could be held liable. Shareholders carry liability in extreme situations only but owe a duty of good faith to each other.
Without segmenting properly, your relationships and business can ultimately fail. Best to ensure that you clarify expectations and segment as set out above!
Sue started to become uncomfortable with Peter and Thando’s approach around 4 years ago. She raised her concerns at various meetings and eventually things became acrimonious in the boardroom. That is when Peter and Thando removed Sue as a director….
I cannot but reflect on what we need to do to move forward. With this in mind, I cannot but recall how challenging life has been as an entrepreneur. I also cannot but be mindful that because of my profession, the legal side was much easier – but what if had not been an attorney? I could not help but think of Ben.