Appropriate and powerful advisors help a company raise capital, just by being involved.
Investors like board members who have “been there, done that” in a senior management, industry-related role. Directors can increase bottom-line profits by initiating strategic partnerships, distribution agreements, OEM relationships, and large corporate sales. Investors also like board members who are willing to provide management coaching.
Because many emerging companies receive public money and blow through it without producing sales and profits, a number of prudent stockbrokers require an oversight committee. The oversight committee helps a young company stay focused on public shareholder’s interests. Sometimes the oversight committee includes a CEO-coach.
Investors prefer companies that attract young experienced, industry-savvy senior management. Typical roles include CEO, COO, and, VP of Sales/Marketing.
A large, sudden inflow of money is sometimes dangerous for a company because there is a tendency to spend it too fast. Therefore, investors prefer a company with a CFO experienced in public offerings and their aftermath.
Professional Resources service companies provide founders with knowledge and support in specialized areas. Sometimes these professionals provide short-term coaching to help founders stay focused on sales and earnings. As a group, they often work together to help increase shareholder value.