Advisory Board Creation: What’s the Most Important Factor?

Advisory Board

The most important factor is a buzz word heard in every industry – diversity. So why is it the MOST important factor for creating an advisory board? And how does it resolve issues for entrepreneurs?

Let’s set a scene – your vision is to design a modern and affordable apartment complex on the outskirts of a large metro-area.

  • You want to revitalize the city by attracting young adults in their 20’s-30’s.
  • The goal is to scale and expand the business to other cities across the nation.
  • You have 10 years experience in construction for large buildings and structures, and believe your network is the biggest asset.
  • However, problems are constantly popping up during the planning stage of the business and are preventing you from breaking ground.

How can you save the business plan before burning through all your cash?

Even though the construction experience has given you access to materials at a quarter of the cost, there’s a lack of data points and input from other elements of the plan. By creating an advisory board comprised of an urban developer, local real estate agent, marketer, university recruiter, business developer, and banker you have exponentially added value to your endeavor.

Where Does the Entrepreneur and their Fledgling Startup Find Advisory Board Candidates?

The advisory board can now give you advice and counsel on your target demographic, real estate, community engagement and needs, the influx and types of individuals moving to the city, how to plan out launch strategy, and financing your company.

Could success have been achievable without the board? Possibly.
Would it have taken more energy, networking, money, and time? Definitely.

5 Attributes the Entrepreneur Should Seek in Identifying Advisory Board Members for Their Startup

The single most important factor for advisory boards? Diversity.

Business is not a linear path to success. The twists, turns, and bumps along the way have killed hundreds of thousands of entrepreneur’s dreams. The counsel of multiple, diverse experienced individuals will allow you to identify your blind spots, rectifying the problem, and curate solutions.

How diversity has impacted my experience as an entrepreneur,

By analyzing a variety of successful celebrities, athletes, and entrepreneurs; we can determine how diversity impacts the life of an entrepreneur and consumer. Should any one of them not exist, the fullness and richness of my personal experience would be diminished.

Here’s a little personal sharing how some contemporary celebrities impact my life:

Elon Musk

The South African born, Canadian – American entrepreneur and business magnate who serves as CEO of Tesla and SpaceX. You can obtain a glimpse into Musk through his recent TEDs Conversation, “The Mind Behind Tesla, SpaceX Solar City”…

  • Musk challenges me to think about the possibilities.

Jack Ma

A Chinese business magnate and philanthropist. He is the Founder and Chairman of the Alibaba Group. This video, “Alibaba Founder Jack Ma: Ideas & Technology Can Change the World” helps us get to know Ma.

  • Ma, makes me think I can do it too.

LaBron James

The outstanding American professional basketball player for the NBA’s Cleveland Cavaliers.

  • Watching his games ignites my competitive spirit.

Blake Shelton

A popular American country music singer and television personality. His hit, “God Gave Me You”, is an excellent example of his work.

  • Shelton makes me contemplate life.

Yayoi Kusama

The famous Japanese artist and writer’s “Works” can be viewed on Artsy.

  • They cause me re-evaluate art and challenge my perspective.

Dharmesh Shah

The Founder of the OnStartups Blog for Entrepreneurs, Founder and CTO of HubSpot,

  • His efforts and work challenge me intellectually on a daily basis.

12 Items Entrepreneurs Should Include in their Advisory Board Recruitment Package

Each of these people has had a significant impact on my life. Although I have not met any of them in person, each has touched me in some way, affecting my thinking and personal development. Together they offer me a fairly comprehensive perspective on life, living, and entrepreneurship.

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Tony Lettich

Tony Lettich has previous Business Analysis, Business Valuation, M&A, and Venture Capital experience and currently serves as the Managing Director of The Angel Roundtable and a Partner in Sheehan, Lettich M&A Advisory. He is also a co-founder of FundingSage, which provides valuable information, tools and resources to entrepreneurs seeking to launch and build startups.