Legal Definitions - inside director

An inside director is a member of a corporation's board of directors who is also an employee, officer, or major shareholder of the corporation.

For example, the CEO of a company who also sits on the board of directors would be considered an inside director. Another example would be a major shareholder who is also a member of the board.

Inside directors have a unique perspective on the company's operations and can provide valuable insight to the board. However, they may also face conflicts of interest and must be careful to act in the best interest of the company and its shareholders.