A Non Executive Director is an easy way to get access to a “wise old head”. They add value as people who have been through the experiences of running and growing a business. Sometimes known as NEDs or NXDs, they offer a growing business many advantages:
- They’ll attend your board meetings, and help explain progress to your investors – they may well have a much better understanding of your industry than your shareholders do!
- Your Non executive is also there as a coach and sounding board – someone who can provide opinions and guidance.
- In many cases they will have a network which may help you find customers or investors
- If their role is the chairman, they will take over a lot of the management issues of the board meetings. They will also help smooth your relationships with investors and shareholders. This can allow you more time to focus on building the business.
- A “big name” on your board, or your advisory team, can be worth a significant boost in credibility. It sends a signal that you are aiming for success, and you have the knowledge to deliver.
Overall, a non-executive director or chairman can add enormously to the strategic thinking of an early stage or startup business. Some can bring corporate advice, others will bring technical or market knowledge, or a network of contacts. Whatever they bring to you, they should be able to add significant value. If they don’t, they’re not right for your business!
We have a network of Non-Executives available – get in touch for a no-obligation discussion if you’re looking for someone. We’d be delighted to help you find your ideal partner.