Should You Have an Advisory Board as a Startup CEO?
Is there a secret sauce to startup success?
It turns out, there just may be. What if we told you that an advisor is a step in the right direction and one that might propel you to triumph?
Finding Valuable Resources
Whether you have one advisor or an advisory board, you’ll find that they can be a valuable resource, especially as you move towards your startup launch day.
An advisory board can help you move ideas from the idea stage to fruition. They can guide and help put you solidly on the path to success.
Advisors provide a good sounding board for ideas and strategies.
If you find the right advisors, they can help propel your startup. Experience from trusted advisors is a beneficial resource for you.
Consider adding advisors who’ve actually launched a startup, investors and/or others in the business community.
How do you find an advisory board? Follow these steps to put together the right mix of people:
- Look for people who have knowledge in areas you don’t. For example, if you know nothing about social media marketing, look for a mentor in this area who wants to see you thrive.
- Find advisors who can guide individual members of your team in a partnership role. You might have an advisory CFO helping your staff financial manager. Or, you might have your marketing advisory guiding your communications team members.
- Look for advisors with experience or at least an interest in your industry. You want to find people with similar interests and knowledge. For example, a doctor isn’t going to help you launch your tech startup.
- Add advisors who care about your product or services. These advisors will really work to see you succeed. When they share your passion, you’ll find they are more involved throughout the process.
- You also want individuals who have time for you. The best advisors are available to you at least 2-3 times per month.
- Finally, look for advisors who are well-connected in your community and in your startup industry.
Defining the Role
Just what is the role of an advisory board? Think of them as a group of mentors who care about your startup product or service and want to see you succeed.
The advisors can provide you with their expertise and advice. They can help you network in the right community. And, they can ultimately guide you off a mistake-ridden path onto one that has a better shot at success.
Your advisory board is not a board of directors – they don’t have a stake in your company or any legal powers.
In other words, they exist simply to help you succeed.
Making Your Startup Better
A good advisory board supports you and makes you better.
Most business people know launching a startup is a tough business with challenges every day.
A good advisory board helps you rise to the top with in-the-moment advice and guidance.
The Startup Genome project found the following to be true: “Startups that have helpful mentors and advisors, track performance metrics effectively, and learn from startup thought leaders raise 7X more money and experience 3.5X better user growth.”
As you can see, having such an advisory board can be very beneficial.
You don’t have to be the expert on everything, and it’s okay to ask for help. Advisory boards are good for startup CEOs, and they can mean the difference between success and failure.
Are you a new startup ready to succeed? Are you looking to get your new business off the ground and watch it rise to success? We are here for you. We can help answer your questions and guide you through the process. Outsource your HR duties, finances, payroll and more to us. Contact Escalon today to get started.