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Creating an Informal Advisory Board

Have you ever considered establishing an informal
advisory board for your small business?

by Vicki Gerson NFIB.com

Large companies
have them. In fact, the largest companies in the world
have all sorts of advisory boards, but many small
business owners are reluctant to ask for outside
feedback. Part of the appeal of owning a small business
is the freedom of doing things your own way, so why ask
a bunch of outsiders to start nosing around in your
company?

Yet an informal advisory board is definitely something
to consider. An advisory board can be composed of three or
more people. The members can include other small
business owners, members of the associations you belong
to, creative thinkers and other experts such as your
lawyer or accountant.

As you select members for your advisory board keep in
mind that you don’t want "yes" men and women. You want
people who will provide you with honest opinions. Look
for members that will help you monitor your
competition, know the pulse of your industry and be
able to come up with objective solutions.

When you decide you want someone on your informal
advisory board, make sure this person knows what is
expected and is willing to give the time needed to be a
member. You don’t want someone who says yes, but misses
more meetings than he or she attends.

This advisory board should meet quarterly or twice a
year. Make sure you compensate your board members,
either monetarily or with some free products or
services from your business. When you meet, be sure to
include a catered breakfast or lunch.

If you keep your advisory board to local people, you
will not need to pay the cost of airfare or
accommodations. However, if you feel someone from
another state would be a valuable addition to your
board, the costs could be well worth the price of their
inclusion.

During your meetings, create an agenda of goals and
focal areas for your business. Share an overview of
what has been happening at your company since the last
meeting. Be sure to provide all the necessary details
in writing. Also give each advisory board member a
current balance sheet, new product literature,
brochures, ads, current articles about your company and
other pertinent information.

Leave time during the meeting for brainstorming about
new products or services. This time can also be used
for reviewing current products or services and how they
can be enhanced or upgraded.

While no one understands your business as well as you
do, an informal advisory board can provide you with
excellent consulting services for very little money and
can help you gain a fresh perspective on your business.

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