1. Group name: THE PROFESSIONALS
Group Members:
Sk. Md. Wahedullah
Sarah Reza Khan
Nadia Wadud

2. Chapter- 09 Building a New-Venture Team

3. What is a new venture team?
A new-venture team is the group of founders, key employees, and advisers that move a new venture from an idea to a fully functioning firm.
The team doesn’t come together all at once
How founder build venture-team (Recruitment, selection etc.)
Assembling a talented and experienced people in the team

4. Creating a New Venture Team
Beginning of venture team
Founders role to assemble a team
Compatible members in terms of
expertise

5. The founder or founders
Size of the founding team
The advantage of team over sole entrepreneur

6. Issues that may arise Working together for the first time
Heterogeneous vs Homogeneous
Team members may not get along
Conflicts while establishing a formal structure

7. Qualities of a Founder Knowledge, experience and skills
Foresight, creativity
Prior entrepreneurial experience
Relevant industry experience
Networking

8. Recruitment and Selection

9. How To Use Social Media Sites To Recruit Employees
Facebook
Post job opening on fan page
Sending out message
Recruit via current employees
Linkedin
Post a job listing
Notifying the contacts
Asking for a referral of qualified
candidates

10. How To Use Social Media Sites To Recruit Employees
Twitter
Post job listings on the company’s twitter account
Create a separate twitter account for job listings
Asking CEO to tweet.

12. Role Of Board Of Directors
A panel of individuals who are elected by the corporation’s shareholders to oversee the management of the firm
If a new venture organizes as a corporation, it is legally required to have a board of directors.
Board of Directors
Inside Director
An inside director is a person who is also an officer of the firm.
Outside Director
An outside director is someone who is not employed by the firm

13. Role Of Board Of Directors
3 Formal Responsibilities :
Appoint the firm’s officers
Declare dividends
Oversee the affairs of the corporation
Frequency of Meetings and Compensation:
Most boards of directors meet three to four times a year.
New ventures are more likely to pay their board members in company stock or ask them to serve on a voluntary basis rather than pay a cash honorarium.

14. Ways A Board Of Directors Can Help A New Venture Get Of To A Good Start
Provide Guidance
Although a board of directors has formal governance responsibilities, its most useful role is to provide guidance and support to the firm’s managers.
Lend Legitimacy
Another function of a board of directors is to lend legitimacy to a firm. Well-known and respected board members bring instant credibility to a firm.

15. The Concept of “Signaling”
When a respected individual figure joins the board of directors of a company, it sends a message or signal to the market.
Perhaps a highly qualified individual would be reluctant to join a low-quality company board because that would jeopardize his reputation.
So when a highly qualified individual has agreed to join the board of the company, the individual is essentially a "signal" that the company has the potential to be successful.

16. Q1.Identify the incorrect statement:
Twitter is one of the ways a company can recruit employee
If a new venture organizes as a corporation, it is not legally required to have a board of directors.
Most boards of directors meet three to four times a year.
Another function of a board of directors is to lend legitimacy to a firm

17. Q2. “When a respected individual figure joins the board of directors of a company, it sends a message or signal to the market”
True
False

18. Attributes of Effective Board of Directors
Attributes of Strong Board Members
Strong professional and personal networks
Respect
Willingness to make personal introduction
Strong inter personal communication
Pattern recognition skills
Investment
Ability and willingness to mentor the CEO
Strong communication with the CEO
Customer focused point of view
Complementary mix of talents
Decisiveness
Mutual Respect
Ability and willingness to stand up to the CEO
Strong Ethics

20. Board of Advisors
A panel of experts who are asked by a firm’s managers to provide counsel and advice on an ongoing basis.
An advisory board possesses no legal responsibility for the firm and gives nonbinding advice.
An advisory board can be established for general purposes or can be set up to address a specific issue or need.
The members of a company’s board of advisors provide guidance and lend credibility to the firm.

21. Lenders and Investors
Lenders and investors have a vested interest in the companies they finance, often causing them to become very involved in helping the firms they fund.
Lenders and investors help new firms by providing guidance and lending advice.
In addition, a firm’s lenders and investors assume the natural role of providing financial oversight.

22. Q3. One of the attributes of Strong Board Members is:
a. To provide guidance and lend credibility to the firm
b. To assume the natural role of providing financial oversight.
c. Strong inter personal communication
d. Ability and willingness to stand up to the CEO

23. Ways Lenders and Investors Add Value to an Entrepreneurial Venture
Help identify and recruit key management personnel
Provide insight into the markets that the new venture plans to enter.
Help the venture fine-tune its business model.
Serve as a sounding board for new ideas.
Provide introductions to additional sources of capital
Ways Lenders and Investors Add Value to an Entrepreneurial Venture

24. Ways Lenders and Investors Add Value to an Entrepreneurial Venture
Recruit customers
Help to arrange business partnerships
Serve on the new venture’s board of directors or board of advisors.
Provide a sense of calm

25. Other professionals Business Consultants
The other professionals that make up a firm’s new-venture team include attorneys, accountants, and business consultants.
Business Consultants
A business consultant is an individual who provides professional or expert advice.
They are divided into two categories: paid consultants and consultants available for free to non-profit companies or government agencies

26. Q3. An individual who provides professional or expert advice is called-
Ans: Business Consultant.