EFFECTIVE BOARDS FOR A PRIVATE ENTERPRISE
The creation of a customized board of directors can prove beneficial to the continuous improvement of the private business. For a family-owned enterprise an effective board strives to improve business governance and perpetuate family control. This active board should include qualified, experienced outside directors. An effective director’s only interest in the business is in seeing it grow stronger and endure.
Also worth considering is the fact that including outside directors is a way to tap into fresh sources of expertise at a relatively low cost. The best directorship candidates are qualified and objective outsiders with great wisdom and deep business and/or industry knowledge. These directors, as part of a respected board, may even aid in fostering your company’s image in your industry and your community.
The Beringer Group has seen an uptick of interest from our clients in building effective, more professional boards. We start with the understanding that all businesses are unique and take a customized approach. Next, we assist in identifying issues facing the company and prepare a Board Prospectus. There is no substitute for beginning early. Involving outside directors in the first or second generation of family business ownership is far easier than replacing an oversized later generation board.
Thank you for taking a moment to read.