Financial Statements 101: A GC’s guide to the boardroom

Author Nikki Newton
maart 23, 2023

A good understanding of financial statements is a vital part of an in-house lawyer’s knowledge, but it has become a critical skill set for any general counsel with boardroom aspirations.

Whether you are helping your organisation stay compliant in its accounting obligations or part of a team looking into a potential merger or acquisition, the board is responsible for making decisions that impact the financial performance of a company, and understanding the numbers is key. A lawyer who understands financial statements and accounting principles can help board members interpret financial data, identify potential financial risks and opportunities, and evaluate the financial impact of various decisions. This can be particularly valuable in situations where the board is considering major strategic initiatives, such as mergers and acquisitions, or when the company is facing financial challenges.

In addition, lawyers with strong financial skills may be better equipped to communicate effectively with other board members and stakeholders, such as investors and financial analysts. They can help translate complex financial information into understandable terms and provide meaningful analysis and recommendations.

There are several ways for lawyers to gain financial experience and develop the skills necessary to make it to the board room:

  1. Take finance and accounting courses: Lawyers can take courses in finance and accounting at law school, business school, or other continuing education programs. These courses can provide a solid foundation in financial concepts and principles.
  2. Lawyers can seek out financial-related assignments within their organizations. This may include reviewing financial statements, drafting financial agreements, or analyzing financial data.
  3. Network with finance professionals: Lawyers can network with finance professionals such as CFOs, investment bankers, and financial analysts. This can help them gain exposure to financial trends, insights, and best practices.

Overall, gaining financial experience as a lawyer takes time and effort, but it is an essential step towards developing the skills necessary to make it to the board room. By building a solid foundation in financial concepts and seeking out opportunities to apply those skills, lawyers can position themselves for leadership roles within their organizations.

For more information or for a confidential discussion on building your team or your next steps in your career, please reach out to your local Taylor Root In-house team.

Jobs

  • Energy
  • Permanent

Senior Legal Counsel, Director

The ideal candidate is an experienced commercial litigator (6-10 years) who has handled complex, high‑exposure disputes, ideally within the energy sector. They bring a blend of litigation strategy, regulatory awareness, trial readiness, discovery leadership, and strong advisory skills. They should be comfortable operating in a public‑entity environment, managing outside counsel, and translating legal risk into […]
  • Posted 45 seconden geleden geplaatst

Read more
  • FinTech
  • Permanent

Senior Legal Counsel

Senior Legal Counsel – Fintech Product, Regulatory, Commercial Location: Atlanta, GA (Hybrid, 3-4 days per week) About the Opportunity A fast-growing fintech company is seeking a Senior Legal Counsel to support its U.S. business. This is a broad, high-impact role supporting financial products, regulatory matters, product development, and commercial transactions within a collaborative and entrepreneurial […]
  • Salary Up to USD180000 per annum
  • Posted 1 dag geleden geplaatst

Read more
  • Asset management
  • Permanent

Employment Legal Director

Leading wealth manager looking to appoint an experienced Employment Legal Director to its EMEA Legal & Compliance team in London. In this role you will advise on all aspects of contentious, non-contentious and corporate employment law work in the EMEA region. Work will include employee relations such as grievances, performance management, disciplinaries, flexible working applications, […]
  • Salary Excellent benefits package
  • Posted 1 dag geleden geplaatst

Read more

Featured Content

See all news
Woman standing smiling in front of an audience

Public, private or PE-backed business: what’s the difference for a GC in Europe? 

  • Posted juni 26, 2026
Contents Share Key insights   The title may stay the same, but the role of a general counsel can look very different depending on ownership structure. A GC operating within a listed multinational faces a very different set of expectations to one supporting a founder-led private business or a private equity-backed portfolio company.  Across Europe, these differences are becoming more pronounced as organisations […]
Groups of young men and women sitting at tables in coworking office environment and discussing small business plans and projects.

The modern GC: culture, conduct and the judgement no one trains you for

  • Posted juni 11, 2026
Contents Key insights The role of the general counsel is evolving in ways that are not always captured in formal job descriptions. While much attention has been given to the expanding scope of the role and the increasing regulatory burden, the more fundamental shift is subtler. Many of the most challenging aspects of being a […]
Meeting, walking and business people in city in discussion on morning commute, travel and journey. Corporate, teamwork and men and women in town talking for collaboration, partnership and career

The art of the exit: A guide for general counsels in PE‑backed businesses

  • Posted april 24, 2026
Exits are among the most intense and consequential moments in the life of a private equity‑backed business. They compress timelines, amplify scrutiny and place legal judgement at the centre of decision‑making, often alongside high expectations from sponsors, management teams and advisers. For General Counsels (GCs), the exit process is rarely just a transaction. It’s a […]