As an entrepreneur, it is common to feel as if you are on an island and in need of additional skills or expertise. That is why it is so important to have a close group of professionals who can help support your business development and provide expertise from the outside.
Why should you establish a board?
There are a few good reasons why you should establish an advisory board:
- Board members can offer professional expertise and open doors to new customers.
- Board members provide a stamp of approval and increase the credibility of the business.
- Board members can strengthen business leadership and provide additional perspectives to improve decision making.
How can a board be structured?
There are different ways of structuring a board and you can pick which suits your business best. A few types of board structures include:
- One-Off Arrangement: Arrange an informal, one-time gathering with a group of individuals.
- Red Wine Club: If the initial meeting goes well, it may be worthwhile to organize recurring, fixed meetings over a cup of coffee, a glass of wine, or dinner.
- Professional Board: If you need guidance on the business’s budget, growth opportunities, and risks, it is time to setup a professional board.
How do you find the right people for your board?
Start by considering the type of people you need on your board. Do they have specific expertise or knowledge? Do they have a reputation that will add credibility to your business? Do you have diversity on your board? Are these individuals even interested in joining your board?
Do you have to pay the board members?
Entrepreneurs do not always have to pay their board members a fee. Some board members are motivated to join a board in order to help others, gain board experience, or view it as a way to build their network and credibility.
Structure the board so that it fits your business. There is no right way. If a board or an advisory board is not your style, you can consider working with a startup coach, a mentor, or another type of professional advisor. Whichever route you choose, make sure the individuals have the necessary knowledge and expertise to take your business to the next level.
If you would like guidance on structuring your board, contact us to coordinate your GrowthWheel one-on-one consultation.