Do you have a Board of Directors?
It doesn’t matter how business savvy or smart someone is; no one person has all the best answers on how to run a business. More and more small business owners are turning to trusted advisors to provide input when working toward and attaining their business goals. This network can be very similar to the board of directors that all large companies have, and should consist of people who have, themselves, been successful in business. This can be especially effective for absentee owners. The best way to assure that the team left in charge shares the owner’s vision, is to make sure everyone accountable. A board of directors provides that measure of accountability. The board should monitor the financial performance of all business units and be given periodic updates on the business plans and forecasts. Big decisions for the company should always be taken to the board for their input or approval.
Having recently become a small business owner myself, one of my biggest fears has been the nagging question; am I doing everything I need to do to be successful? I am very confident in my abilities as a CFO, but there is so much more to my business than just providing a service to my clients. Early on I became involved with a women’s advisory group. Together we served as each other’s board of directors. We met monthly and held each other accountable for meeting our set goals. Having others with whom I could discuss ideas, and know I will get honest feedback, gave me much more confidence that I was moving in the right direction.