Small-Cap Takeaways From Facebook’s Year of Falling Face-First
By most measures, 2018 was a tough year for Facebook. In addition to losing nearly a quarter of its stock market value between June and December, Facebook was a constant fixture in the news for all the wrong reasons, a dynamic that rapidly chipped away at investor trust. For founders and boards of high-growth companies, […]
A Resolution for Governance “Experts”
Every week I sit with small-cap board members who are confused by what they read in governance books and articles and hear at conferences. Sometimes I mention various experts that board members should consider reading or events they should consider attending, and the response is often the same: “Why would I do that, those people […]
Book Review: “Digital Resilience: Is Your Company Ready for the Next Cyber Threat?”
We all know the names: Target, Equifax, Sony, Yahoo, Marriott. If you were directly affected by those cyber breaches, you might even remember where you were when you first learned about them. My first education about the scope and breadth of cybersecurity came in preparation for sharing the stage with Governor Tom Ridge at an […]
Three Examples from ‘18 of How Better-Governed Companies Make More Money
At the end of every year, I try to pass along to CEOs some of the best examples I came across from the preceding 12 months – examples of how and why better governed companies make more money. As my firm enters its ninth year of partnering with small-cap leaders, one thing I continue to […]
Understand Who Should Be on Your Board? “I Don’t Think You Do…”
A memorable moment from the iconic television show, Seinfeld: Agent : I’m sorry, we have no mid-size available at the moment. Jerry : I don’t understand, I made a reservation, do you have my reservation? Agent : Yes, we do, unfortunately we ran out of cars. Jerry : But the reservation keeps the car here. That’s why you have […]
Boardrooms, Abbey Road, and Mountaineering
Adam J. Epstein has a wide-ranging (and sometimes lighthearted) discussion with BoardProspects CEO, Mark Rogers. On book writing, catch phrases, and musical preferences BP: I think most people probably know that you were an institutional investor, and that your firm Third Creek Advisors, LLC advises lots of boards, but some might not know that you wrote a corporate […]
An Interview: Board Recruiter Takes on Middle-Market Challenges
Beth Stewart is the founder and CEO of Trewstar Corporate Board Services, a search firm dedicated to corporate board recruitment for high-growth companies. Stewart is a recognized expert on board composition, particularly with respect to small- and mid-cap companies, and speaks regularly at industry events. Previously, Stewart was a senior investment banker at Goldman Sachs […]
Tesla’s Board Was A Buy-Side Failure
Countless articles have been written, and interviews undertaken, in the last couple of months regarding Tesla’s travails, and the behavior of its CEO, Elon Musk. At some point in every discussion, a flabbergasted writer, TV host, investor, or corporate governance “expert” asks the question: “Where is Tesla’s board in all of this?” It’s a self-evident, […]
Everything You Wanted to Know About Microcap Boards
A recent, groundbreaking piece of research entitled Microcap Board Governance (which was undertaken by Annalisa Barrett and commissioned by IRRC Institute) bridges a decades-long disconnect. To wit: “Despite microcap public companies’ importance in our capital markets, there is a paucity of studies examining their board composition and governance practices. This study provides insights into the current governance landscape in this […]
The Transition from Large-Cap to Small-Cap Boardrooms Can Be a Rocky One
Experienced small-cap investors are often circumspect when large-cap officers and directors join the board of a small-cap company. Precedent suggests that such trepidation is well-earned. If serving on the board of a large-cap company is like staying at the Four Seasons, small-cap boardroom service is akin to camping. When directors who are more accustomed to […]