Does anyone here work as a NED?

[happytobealive]

The initial message was deleted from this topic on 31 October 2021 at 23:57

[SantaBarbara]

Volunteer to run a Charity shop

[sideways sid]

I think the days of picking up a fat fee for a couple of meetings each year and some good lunches, with almost no extra effort are gone.

NEDs are now far more accountable for management failure, and need to be closer to the business. If you don't have time to start a business, it is possible that you don't have time to act as NED for one.

How about mentoring or advising businesses on a consulting basis? You may be able to do so directly for the business or on behalf of an established investor in a (portfolio of) business(es).

[The Moose]

A friend of mine has gone into mentoring and is really enjoying it. Perhaps something similar would be worth while for you? It does depend if you're looking for the money or the challenge.

[The Moose]

happytobealive said:

The Moose said:

A friend of mine has gone into mentoring and is really enjoying it. Perhaps something similar would be worth while for you? It does depend if you're looking for the money or the challenge.

Mentoring is interesting - is your friend working as a "life coach" or similar?

Unfortunately I don't think I quite have the patience to be a coach on a 1:1 basis.

Can we move this to e-mail as opposed to on an open forum? Shoot me a PM

[anonymous-user]

The Prince's Trust does a mentoring scheme - it's quite comprehensive so may be worth looking at it and then seeing if a charity you have an affinity with does something similar.

I have worked with two charities as a trustee/unpaid advisor to help them commercialise certain aspects of their work and it was pretty interesting.

I can also think of a startup that would be interested in your advice judging by your potted history so PM me if you want the details.

[JulianPH]

happytobealive said:

I am wondering if anyone here has any experience working as a Non Exec Director (NED) for other companies?

Bit of background; I have previously worked at a senior level in a blue-chip company before starting my own business 7 years ago. I've built it from scratch to circa £5m turnover and make a healthy net 10% margin. So I am doing fine financially, but I am looking for additional challenges, hence why I was thinking a NED role might be interesting.

I've spoken to a couple of friends and their advice was to start a new business as I have what I think are some interesting ideas. But in reality I don't feel I have sufficient time to start another business from scratch.

But I do enjoy helping solve business problems and I think I have some good experience across a variety of fields including outsourcing, IT, e-commerce, analysis, sales management, negotiating and digital advertising.

I'm not expecting I should walk into a non exec board position in John Lewis, but was thinking I could add value to a business. My objective isn't to earn more money, it is more to do with looking for an additional intellectual challenge.

So, back to my original question, is there anyone here was has taken on a non-exec role, do you enjoy it, and was it what you expected?

I've done unofficial NED work for companies I have purchased where the board know exactly what they are doing but the businesses could seriously benefit from an external viewpoint (and of course it helps protect my investments).

I would offer your services for free initially as (a) it can be very rewarding and (b) you bring the experience back to your core business which can also be beneficial.

Another route (or after an initial period) would be to agree a fixed term (with the business having the option to roll this over with your consent) deal with, say 20%, of any uplift/savings you have directly made through your input over the period paid to you (or equity if you and the business owner(s) prefer).

You would have to be clear on any reward being linked only to your input (not the owners or natural organic growth that would have been achieved anyway), but this is easily done in them providing you with a realistic business plan.

Basically, if it was something you would jump for then it is likely other business owners would too.

[Simpo Two]

I've often wondered how people get jobs in 'think tanks' - which so often make the news.

[JulianPH]

Simpo Two said:

I've often wondered how people get jobs in 'think tanks' - which so often make the news.

Hi mate, just sent you an email!

[rog007]

Whilst not industries out to make a profit; both need to operate within their means - the NHS and the education sector are always keen to have business savvy NEDs/Governors on board and both are very rewarding endeavours.

https://publicappointments.cabinetoffice.gov.uk/nh...

https://www.gov.uk/become-school-college-governor

Let us know what you decide to do

[anonymous-user]

JulianPH said:

I've done unofficial NED work for companies I have purchased where the board know exactly what they are doing but the businesses could seriously benefit from an external viewpoint (and of course it helps protect my investments).

I would offer your services for free initially as (a) it can be very rewarding and (b) you bring the experience back to your core business which can also be beneficial.

Another route (or after an initial period) would be to agree a fixed term (with the business having the option to roll this over with your consent) deal with, say 20%, of any uplift/savings you have directly made through your input over the period paid to you (or equity if you and the business owner(s) prefer).

You would have to be clear on any reward being linked only to your input (not the owners or natural organic growth that would have been achieved anyway), but this is easily done in them providing you with a realistic business plan.

Basically, if it was something you would jump for then it is likely other business owners would too.

Very interesting post.

Edited by anonymous-user on Tuesday 8th August 22:03

[Vaud]

rog007 said:

Whilst not industries out to make a profit; both need to operate within their means - the NHS and the education sector are always keen to have business savvy NEDs/Governors on board and both are very rewarding endeavours.

https://publicappointments.cabinetoffice.gov.uk/nh...

https://www.gov.uk/become-school-college-governor

Let us know what you decide to do

Universities value NEDs with industry experience as well. As they are charities the role is strictly speaking a Trustee and the function is through the University Council. Subcommittees are similar to industry (Audit & Risk, Strategy & Investment, Governance, H&S, Remuneration, etc)

They are unpaid with no perks (other than the odd nice dinner and the chance to meet some very interesting people)

I'm in my 4th year and enjoying it. Universities are a very, very different world!

[JulianPH]

happytobealive said:

JulianPH said:

<snip>
I would offer your services for free initially as (a) it can be very rewarding and (b) you bring the experience back to your core business which can also be beneficial.
<snip>

I'd be happy to do that for an initial period in order to prove myself. In your experience what is the best way to find these type of opportunities?

On that I can't help and will differ to others posting here. I did it through buying businesses (so essentially they had no choice!).

I have offered my services for free to other businesses (in the same - financial - sector) but found ego's got in the way.

I tried going back to my old school to offer finance guidance - this was even covered by the BBC - but I didn't hear back from them either.

It (basically) turns out that sharing your experience and knowledge is not wanted.

I have had one company come back to me (after 3 years of me initially offering) and given the attitude I don't think I will bother wasting time there.

It is not a thankful task in the main. If you do it, I strongly recommend you do it unofficially until you size the company up. You don't want personal liabilities for any company that trades whilst technically insolvent (unbeknown to you).

For larger companies, you are looking at receiving £5k to £10k a year for a day a month. Blue Chip's obviously pay a huge amount more.

Start off mentoring and after a year move to NED positions. My experience is that you can learn a hell of a lot by mentoring alone.

PM me if you like.

Anyone else on her who would value some input PM the OP or me, I am happy to give some free input and learn from the time I spend on it.

PM the OP first though. This is his Thread, not mine.

[williaa68]

OP - where are you based? One of the law firms I work for runs a "next generation NED network"

https://nextgennednetwork.com

Mainly London and financial services focused but may be of interest? If you happen to have asset management experience, there's going to be a ton of demand for NEDs in the asset management space in the next couple of years....

[Glasgowrob]

Run a small startup taxi firm anyone wanting to share their wisdom feel free to share my way

Always great to get an outside perspective on what your doing/planning

[drainbrain]

Glasgowrob said:

Run a small startup taxi firm anyone wanting to share their wisdom feel free to share my way

Always great to get an outside perspective on what your doing/planning

Where you're based there's certainly no shortage of NEDs

[Glasgowrob]

Not the right sort unfortunately although plenty of that sort seem to be in our trade

[marsred]

williaa68 said:

OP - where are you based? One of the law firms I work for runs a "next generation NED network"

https://nextgennednetwork.com

Mainly London and financial services focused but may be of interest? If you happen to have asset management experience, there's going to be a ton of demand for NEDs in the asset management space in the next couple of years....

The asset management point is a good one as they will be in huge demand. They have to be independent NEDs though, so can't have been in any contractual relationship prior to becoming a NED (rules out consultancy work first). Also AM firm's may be encouraged to find NEDs who don't have asset mgmt experience... that would bring proper challenge and not a "this is how it's always been done" perspective.

[The Moose]

I had forgotten about this thread. Just tried to PM you Mr OP...but you don't allow them! Drop me a PM on here when you get a moment.