Advisory Boards are catching on with our clients and Canadian entrepreneurs in general, and for good reason. According to a study by BDC, 86% of entrepreneurs who have an Advisory Board say it’s had a significant impact on their business. Those companies with a Board of Advisors had revenue 24% higher than those without one and they also reported 18% higher productivity.
That all sounds good, but what is an Advisory Board?
An Advisory Board is a governance and communication forum to enhance:
- Creation and preservation of wealth
- Management of risk
- Decision-making processes
- Grooming of next generation shareholders and leaders
- Management of change within the company
- Formal planning
- Operational performance
- Internal controls
- Unlike traditional corporate boards, Advisory Boards give non-binding advice, possess no fiduciary or legal responsibilities and are more flexible in size and composition.
Our clients are considering or have set-up Advisory Boards for a myriad of reasons:
- A young ownership team who want to massively scale their business and tap into the expertise of someone who has been there, done that
- Family businesses who want to take emotions out of tough decision-making processes and deal with succession issues
- Experienced entrepreneurs who are seeking independent perspectives, creative thinking and someone to challenge the status quo by asking provocative questions
- Owners who struggle with business development and wish to expand their network
Here’s what some of our client’s have to say:
“Best decision I ever made. I can’t believe the day to day benefit I get from my outside directors”
“It has raised our awareness to an entirely new level; it has made everyone on my management team more accountable”
“They can ferret their way to the heart of the problem in no time and provide constructive ideas. They can’t fix problems but they can provide insight and experience sharing”
Intrigued? Want to learn more? Dena, Cheryl and Dick collectively have experience and training in designing, recruiting and establishing Advisory Boards as well as direct experience sitting on boards.