If you have set up a limited company cultivate a strategic hiring plan, to ensure the best and brightest can help make your firm a success. One of the first staff members you should consider taking on is a non-executive director (NED). Turner Little outlines why this can be a winning strategy.
New pair of eyes
As a company director, your time will be devoted to handling the day-to-day issues that come with running a successful business. In this pressurised environment, it can be too easy to miss the bigger picture. An NED can provide the fresh pair of eyes you need to ensure your business keeps charting its desired course, examining everything from target fulfilment to adherence to incoming regulation.
Extra pair of hands
The duties of a director are many and varied. They include everything from completing tax filing obligations to ensuring firms comply with UK law. These are complex tasks, especially for a new business owner with limited experience. An NED has the administrative experience and industry knowledge to aid you with these tasks and they have a track record of helping firms survive tough times.
Objective perspective
A key responsibility of any company director, is to always act in the firm’s best interests. This is easy in theory, but hard in practise, as you have a vested interest in its success, sometimes clouding your judgement. An NED can look at sensitive situations more objectively, supplying sound advice on how to move your venture forward. For example, if you want to embark on floatation to expand operations, the NED could voice the pros and cons of this strategy, helping you make an informed decision.
Important connections
It can be difficult, as a new business owner, to form the industry connections needed to secure suppliers, talented personnel and even new business. Remember that NEDs have been working within your chosen sector for a long period of time. They will have developed their own contact book of experienced professionals that they can bring to your firm, allowing you to make critical connections.
Management team mediator
The success of your venture depends on your management team’s ability to actually work as a team. With their own areas of responsibility, many company boards adopt bad practises, like discounting each other’s opinions, side-tracking conversations and engaging in outright conflict. This damages their productivity and ability lead people working under them. The NED can correct your firm’s course when it encounters stormy waters, serving as a mediator when tensions flare in the boardroom.
Form your company
So if you hire an NED, you will have the talented, experienced leader needed to ensure your firm thrives long-term. It is key, however, that you write clear and comprehensive articles of association when creating your company, so your NED have the robust infrastructure they need to help you manage the firm effectively. As a company registration agent, Turner Little are experts in this area and we can supply you with the company formation services that you require to build strong foundations.
Turner Little
Turner Little was founded in 1998 and it has since become a well-established UK based professional Company Registration Agent, Registered Bank Intermediaries and Business Consultants, as well as Trust provider. You can receive our monthly newsletter by signing up using the form below.
