Sometimes people ask what is the concrete benefit of having advisors or external board members. Here is one example with some figures:
"We should have done this [taking external board members] much earlier, the benefits have been so huge" said the CEO of one of our client company. We found them 25 candidates and they started to work with two of them.
The key on using advisors effectively is to treat them as an extension of your team, and to involve them in the decision-making process as much as possible. By doing so, you can tap into their expertise and experience to help drive the growth of your company. Specially in the beginning of the advisor relationship it is crucial to have frequent communication with the advisor to get them up to speed.
Your company has created a potential spin-off but no one in your team has the needed expertise to make it fly? This was the case with one of BOARDIO customers. This company operates in B2B but had invented something with major business potential in consumer market. There were some clear synergies in the production and thus the company wanted to keep the business inhouse. The solution was to find an advisor with track record in building strong cunsumer brands.
Entering global markets does not anymore require heavy investments like renting an office and hiring local sales people. Much of the B2B sales that used to require face to face meetings, can now be done over teams. This is a huge opportunity especially to smaller companies that now have the whole world as their market.
Entering the US market is tough, even for bigger companies. Using advisors to enter the US market has several benefits and greatly increases the likelihood of success.
Due to Covid and digitalization, even smaller companies aim for global market. This however sets some new requirements on the management and the board. Diversity in terms of nationality becomes an issue that should be dealt with early on. One flexible and cost effective way to make sure company has all the skills needed for global markets is to get foreign advisors or board members.
What things should be considered when using advisors to support growth and expansion to global markets?
If you run your business only in domestic market, things are rather easy. You have the needed network and you know the local business culture and legistlation. As soon as you expand overseas, things get much more complicated. A flexible way to overcome the issues related to global expansion is to get an advisor with relevant experience and skills. There are however few key things to consider when using advisors to support growth and expansion into global markets.