As an entrepreneur, there are many vital decisions you face that dramatically impact the way you do business. One of the most important determinations you will make on your company’s corporate development relies on establishing a solid board of directors. After the board has been assembled, you must work with them toward your common goal of success; therefore, it is important to choose your members wisely.
Execution and growth issues can be the toughest endeavors for a budding company to face. An experienced and aggressive board will help put these situations in perspective; offering a multitude of possible solutions and strategies to conquer these affairs. Through prudent governance, a board of directors should oversee issues that may arise with prospective hires, partners, investors, and customers.
As an entrepreneur you need a board to which you can entrust important duties such as assembling your management team. These individuals will face the day to day operations involving employees, vendors, and customers. The board needs a strong grasp on what type of management team is needed and where to allocate these leaders for the most proficient and efficient results. Each department should be a balanced, smooth operating entity.
The board should be a key element of company development. The shrewd governance of the board should be able to guide the company through its multiple stages of growth; consistently reorganizing and re-strategizing based on the monitoring of overall company health and performance.
When setting out to create your board, be mindful of these simple tips:
- Make a list of what specific expertise you need. Find individuals who will work well together and have a synergistic skills; this is critical when forming a cooperative and powerful board.
- Seek out individuals who know your business well and may have started companies from the ground up. You also want these individuals to possess excellent networking skills or may already be connected to other key players in your field.
- Employ members who bring focused expertise to the group, will participate in strategic planning and execution, but will leave the day to day operations to the CEO and the management team.