A promoter is broadly defined as someone who encourages or incites a certain behavior. In corporate law, a promoter is the founder or organizer of a corporation or business venture; the person who takes the initiative to create or organize a business. The term is mostly used in the context of incorporation. A promoter would perform the conduct required for incorporating the business venture. Then, the acts by the promoter would be ratified by the formation of the board of directors and their subsequent conduct. The person signing the certificate of incorporation would be named the incorporator. The promoter is not always the incorporator of the corporate entity.
[Last updated in April of 2022 by the Wex Definitions Team]
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