How to Assemble a Board of Advisors

Businesses are better suited if they have advisory boards. These advisory boards are generally made up of attorneys, accountants and insurance and bank representatives. The purpose of an advisory board is to assist and advise business owners in writing a business plan and to give sound impartial advice on business expansion, borrowing and risk management. Businesses with an advisory board are looked upon more favorably than those without.

Instructions

Difficulty: Moderate

1. Make a detailed list of yours and your company's needs. It is important to match talent with need in creating an advisory board.
2. Solicit the most talented people in their field to be on your advisory board. If they are unavailable, ask for a referral for someone with similar principles, values and knowledge.
3. Look to the future when creating your advisory board. Your board should compliment not replicate your current management team.
4. Create a chart that you can use daily to match talent with talent, experience with experience. Making a list of your current team's management skills will help you fill the gaps with talented members from your advisory board.
5. Imagine a possible situation you may find yourself in with a member of your board. Decide what kind of vote he is going to have on issues.
6. Change the make-up of your board and tell them upfront that once in a while you will add a new member with different talents.
7. Manage the advisory board you have created. Provide direction and don't be afraid to challenge and encourage them. It is your responsibility to help them help you.

Tips & Warnings

• Share your vision of the company with the advisory board.
• Do not create an advisory board and then ignore their advice.
• Do not create a board that is made up of your friends. This is business and you want your advisory board to be an asset rather than a distraction from your business.