We serve our clients in many ways including the development of assessments, processes and structures for family business enterprise Boards of Directors.
FBCG has great strength and experience in understanding how to assess family business readiness for a Board. Our tremendous quantity of IP in this area includes:
A deep appreciation, knowledge and understanding of family business enterprise.
Books and articles on Boards of Directors in Family Enterprise.
An intellectual property that is about mentoring and educating our consultants to do this work to a standard that is higher than that of a non-family business specific search firm.
We help design processes so the family can understand the positive impact of a Board on their family business.
We help the family manage and use the board strategically.
We offer access to family business savvy individuals that understand what it means to work with a family business and to be on a family business board. They possess additional skills and understanding regarding FAMILY.
We offer insight on how to add independent directors that will reinforce discipline and accountability in management
We focus on the skills AND the cultural fit of a director to the board and the board to the director
We can help you to develop a board from the beginning or aid you in assessing, training and creating an even more impactful board.
For more information on this offering please contact us at 773-604-5005.
Finding the Right Directors for Your Family Business Board
When it’s time to think about a Board of Directors :
We Can Help
Research supports that an effective board includes at least two independent directors. It has also been noted that independent directors add value to the business.
Imagine if those independent directors understood your business, your family, the special nature of a family-owned business and fit the company that you and your family have worked so hard to build?
We Can Make That Happen
With access to our network and our Board Development leaders we tap into a database of vetted, skilled and unique individuals who are suited for family business boards.
Let FBCG find you independent directors that:
· Fit your family business culture
· Add value to your organization
· Appreciate the special and unique nature of family business
· Are effective at moving your family business forward
· Will hold your management accountable
Through our fifteen plus years in the field of family business we have developed a network and database of family business savvy individuals who possess the types of skills and understanding of family business and family business culture that make them unique.
As part of our process, our Board Development Leaders help develop the prospectus and find the right individuals for your organization and your family.
For more information on this offering please contact us at 773-604-5005.
"The Family Business Consulting Group, and Jennifer Pendergast in particular, were a great help in our company adding two independent directors to our board. They helped design and coordinate a process that helped us attract talented board members and, more importantly, helped us better understand our challenges, responsibilities and skills. As a result, our company added much-needed skills and capabilities to our board that should help us move forward in these uncertain times."
President and COO
Schurz Communications, Inc
“By being an expert on the special needs of family-owned businesses you can identify candidates that will fit the family and the business, not just be parachuted in to the board based on a list of credentials……… You understand the potential talent pool for family owned businesses better than the public professional search firms.”
Makers of Fine Paper and US Currency
“FBCG does an outstanding job in finding directors for family owned companies. FBGC develops a keen understanding of a company and is able to define the skill set needed in a director. The group is then able to use its broad network of potential candidates to identify those that may be the best match for the company. In addition they play a key role in working with the company and director candidates in bringing the search to a successful conclusion.”
“Marriages between directors and managements are critical and even more so in a family enterprise. The Family Business Consulting Group has perfected a process which is not only most thorough but sensitive to the unique needs of a family environment. Their methodical approach and years of experience consistently results in great matches resulting in improved governance and profitability”
Chicago Tube and Iron
“Within the last year, I was selected to serve on the board of a family owned business. What was most striking to me was the level of insight FBCG had into the nature of the company, its opportunities and its needs in terms of board capabilities. The combination of the project based insight coupled with the board search capability, represents a strategic advantage for FBCG in helping companies recruit the right board members.”
Former Executive Vice President and President
Kraft North America Commercial
For more information on this offering please contact us 773-604-5005.
Frequently Asked Questions
Q. How do boards contribute to family owned business?
A. Boards provide a sounding board for management, help with strategic direction, ensure all owners goals are considered, enforce follow through, provide objectivity, oversee the succession process, provide functional expertise, provide access to a network of good contacts and provide industry expertise.
Q. How many directors should we have?
A. Best practices would support 7-8 directors and of those directors three or more would be independent.
Q. Can’t I just have my independent directors be my lawyer, accountant and other advisors that I know and trust?
A. The issue with paid advisors is just that. You are already paying them to give you advice, so they are already available to you and do not need to be on the board.
Q. Can’t I just have my friends on the board, they are people I trust.
A. Trusted friends are probably more difficult to find than good directors, and trusted friends will always be there to give you advice. The other difficulty is the perception by others that the friend of the CEO or Chairman would be biased.
The best director is one who has high standards, who asks good questions, raises concerns and offers insight. They are team players, collegial and not in charge. They are there to provide oversight and counsel.
Q.Why FBCG and not a traditional search firm?
A. At FBCG we do board development work not just searches. Our expertise lies heavily in our ability to find directors that fit the culture of your unique organization. We work only with family enterprise, we have conducted research in the area of family boards and have an enormous amount of experience with Family Boards and Family Governance. This experience results in a two-way fit with your board member.
Q. What should I be paying these directors? Won’t this cost me a fortune?
A. There are several ways to pay directors, including combinations of per meeting fees and annual retainers. Compensation should be high enough that it reflects a significant commitment to the board on the part of the owners—an investment in the company’s future.
Q. When do you know it’s time for a Board?
A. The board should be in place before the company reaches major – and sometimes predictable – transitions. At this point, the owner often needs the energy and expertise of board members to grow the business to the next level. In addition to business growth, growth of the family and the ownership group can also make the role of a board that much more critical. Larger ownership groups make decision-making more complicated, requiring a more formal decision-making structure and clear delineation of roles among owners, management and board.
The Family Business Consulting Group, Inc ®
2835 N. Sheffield Ave Suite 237
Chicago, IL 60657
For information about our consulting services, please call 1-773-604-5005. For all other services please call 1-888-421-0110.