The role and influence of board composition on firm performance and development has been extensively debated over the last decades. The upper echelon perspective suggests that the demographic characteristics of firm boards may exert influence over firm performance since demographics are associated with many cognitive bases, values, and perceptions that guide and direct board members decision-making and functions. Several studies have found empirical results supporting these arguments and have further developed the conceptual reasoning for a relationship between upper echelon characteristics and firm performance. However, the wide array of theoretical underpinnings and perspectives combined with diverse empirical evidence has presented further questions over time in relation to how board composition influences firm performance and entrepreneurial levels in firms. In an attempt to address these questions, we model and test the relationship between board composition and firm performance and entrepreneurial levels. We propose a set of hypotheses that suggest that board monitoring and board capital mediates the relationship between board composition and firm performance.