Build a startup advisory board with the following steps.
1. Assess Business Goals and Objectives
Each advisory board should be as unique as the startup it is formed to serve. Ask yourself what areas you lack most in terms of expertise and knowledge. For instance, if you are finding it difficult to attract potential investors, seek advisors who are knowledgeable in that area or with deep industry connections.
Conduct a SWOT (strengths, weaknesses, opportunities, and threats) analysis to help identify what your organization needs. You could also break down your company’s vision and mission into achievable objectives to see where you are still lacking. Also, don’t forget to consider your future goals.
Factoring in business goals and objectives helps an organization choose advisors who can fill gaps in their team’s knowledge and help their business thrive.
2. Utilize Personal Network
When searching for advisors, start with your personal network. Determine whether you have any relationships in your personal network who could add value to your business. For instance, a mentor could sometimes morph into an advisor if they’ve proven valuable and you’ve established a healthy relationship with them. Also, ask your network for their suggestions.
Beyond personal relationships, meeting with potential investors can also be an excellent way of securing advisors. Ask the investors to refer you to people who could accelerate your business’s growth. You could also meet VCs and ask them to refer you to advisors—VCs usually have a network of professionals who are available for portfolio companies.
3. Hire a Diverse Advisory Group
When seeking advisors, ensure you focus on experts from various subject matters and backgrounds to get the most from your board. This ensures your board considers challenges from a number of angles.
Vet potential advisors as you would any employee. Vet the value they can offer by conducting interviews, checking for conflicts of interest, and verifying they fit your startup’s team and culture.
Once you’ve selected your advisors, you need to draft a detailed advisory agreement to set guidelines and expectations.
4. Leverage Board Meeting Technology
The primary purpose of an advisory board is to drive positive outcomes. One way of ensuring they achieve this feat is by providing them with board meeting technology.
A board meeting platform offers an end-user cloud-based communication tool that board members use to conduct, participate in, and coordinate board meetings. This technology can ensure effective startup board meetings by streamlining communication between board members. It will also ensure effective collaboration between your advisory board and your management team by ensuring effective communication and eliminating friction.
