What is a Non-Executive Director? An Introduction to Smart Money
In simple terms, a Non-Executive director is a senior business specialist who has a seat on the board of a company. They contribute smart money and to the growth of a business by providing their knowledge in a specific area. For a startup company, they could be an expert in finance or someone who can create sales or business for that startup and so on, this would all depend on what area of business your company is involved in and what stage of progress your business is in.
The Non-Executive roles are often given to people instead of money, they are often given equity for this role. If you are interested in hiring a Non-Executive director then the smartest way would be to offer them B class shares, this way, the shares mature as the non-exec has proven their worth, as the company will hopefully grow due to the Non-Executive being in their position.
They are also very handy when it comes to getting investment, due to the fact that they can make a team look a lot more experienced, and for very little in return. It’s also a great way to network as the more experienced they are then the more people in the field they know.
It’s very important to remember that although this is your business, there will always be people out there who know more than you, especially when you’re just starting off, you need all the help you can get! Every day will be a learning curve. Therefore, it’s essential that you surround yourself with people who can help you.
If you want more information on how to find and attract potential non-executives to work with you then you can read the following article here: (LINK TO ARTICLE).
At Acceler8me we can set you up with; meetings, networking events, and workshops that include more in-depth discussions regarding all the important stuff such as hiring staff, bringing on investors or Non-Executives etc, this could be extremely useful for you if you are just starting off and this is all brand new information for you, don’t panic we are here to help!
Get in touch today!