I don’t care how business savvy or how smart someone is, no one person has all the best answers on how to run a business. When working toward achieving their business goals, more and more small business owners are turning to trusted advisors to provide input. This network can be very similar to the board of directors that all large companies have, and it should consist of people who have, themselves, succeeded in business. This is 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 is 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
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 confident in my abilities as a CFO, but there is more to my business than just providing a service to my clients. I am fortunate to have a group of strong and successful advisors. Together we serve as each other’s board of directors. We meet monthly and hold each other accountable for meeting our set goals. They give me an assessment of what I am doing and what I need to do to be truly successful. Having others with whom I can discuss ideas and knowing I will receive honest feedback gives me confidence that I am moving in the right direction.