Business Governance
As businesses grow, the ownership structure typically becomes more complex, as control is shared among a larger and more diverse group of stakeholders (e.g. future generations of family members, family trusts or entities, directors and management, or outside investors). Evolving and transitioning ownership and control composition requires rigorous and effective shareholder and corporate governance structures. Business Growth Alliance has designed services that assist clients with business governance, leadership development, succession management and shareholder alignment/ownership transitions, which are often necessary to assure that a business remains successful over the long term.
Good governance structures and quality input help growing businesses effectively utilize their entire resource base. Despite efforts to organize a board of directors, or an advisory board, many closely held companies have deficiencies in their business governance mechanisms. There are many reasons for this, however the effect is to deprive the CEO and principal owners of the input required to improve future results and provide proper mechanisms for sustainable transition and continuity of the business over generations.
Effective business governance involves assembling a trusted advisory team that will participate in the periodic evaluation of a company's strategic positioning, the strength of its management team and the quality of its operating results. This team also periodically reviews management succession plans and the controlling owners’ plans for the generational transfer of their shares. BGA is experienced with helping companies develop shareholder and business governance mechanisms, and can also participate on governing boards, or provide vital input to a board.
The Seven Critical PracticesSM for successful long-term Private Business Wealth ManagementSM include Business Governance, let us help you assess whether governance improvements can be achieved in your business. |
