IDsquared

Yes.  It’s tempting to think that in a high growth company the only concern is to keep the the lines on the income chart going up.  Of course, it’s an excellent start but it is only a start.  The right Non-Executive Director or Chairman is just as vital when times are good as they are when things are bad.

In good times, day-to-day finances may be less of a concern, but long-term strategic financial decisions are vitally important.  How do you support future growth?  Can you do it purely from income or should you raise more money now, while you have a great story to tell?  If so, how? 

Income may be going up and up but are you absolutely sure why?  Could it be seasonal or the result of a trend you don’t control?  What can you do to put your growth on a stable, predictable and controllable footing?

Your customers love you, that’s great, but do your suppliers?  Even if they do, are they capable of keeping pace with your growth?  What would be the result if you had to switch suppliers tomorrow?  What if your suppliers’ suppliers’ suppliers can’t keep up?

More business means a bigger business.  Are you confident that you’re recruiting the right people for the right price?  Are the systems in place to ensure you stay on top of your numbers?  Do you have the right lawyers, accountants, bankers and insurers now that you’re five times the size you were? 

Now things are going so well, you may want to capitalise on your position.  Should you be buying out some of your earlier investors?  Should you be renegotiating your bank facility (the best time to do it is when you don’t need it!)?  How much should you reinvest in the future of the business and how is this best done?

Most importantly, you know how many factors within a business require careful attention.  You must ensure that however well the sales are going, and however good the bank account looks, you never lose control of what underlies the business itself.

The right Non-Executive Director or Chairman can help you keep all of these things in focus while you make the most of (and enjoy) the growth that you’ve worked so hard to acheive.  If you’d like to see a shortlist of people who may be right for your business then do, please, give us a call or drop us an e-mail.  We’d love to hear how well things are going and do whatever we can to help you keep it heading in the right direction.