Dictionary

Promoter (corporate law)

A person who is a party to the formation of a company (including promotion, incorporation, and/or floatation), in particular to the preparation of the prospectus (whether in a more or less active role), with the expectation of deriving profit from the company.

Generally, promoters owe a fiduciary duty to the company with which they are affiliated, meaning they must avoid conflicts of interest and exercise reasonable care in discharging their duties.