A comprehensive theory of the firm has to consider both the governance and the development of the firm. We propose a integrative model of governance and development. An empirical analysis of a public association with both public and private characteristics shows that these two processes influence each other. Our findings indicate that member influence implies a conservative development of the firm. On the other hand, the emphasis of the control function of the board creates a strong management position, which could imply a dynamic development. Thus, our main conclusion about the association is that the governance relationship between the members and the management of the association influences the developmental capacity of the association.