Good Governance for Growing Tech Companies
Startup tech companies have some big problems with boards of directors: too many early stage enterprises don’t have experienced business executives on them. Seasoned executives are the people all corporations rely on to make sound decisions. As technology firms transition from the early phase of launching a new product into a bigger enterprise with more staff, they begin to feel the need for independent governance. Board portal software helps scaling startups manage their transition into an accountable, well-governed organization.
In their early days, startups are focused on launching innovative technologies and capturing the consumer’s imagination. A small group works closely together with direct communication, usually in the same room. At this stage, few firms can afford experienced management talent. Their only experienced director may be an angel investor with too many concerns to provide involved guidance. Emerging software firms need to bring on independent, experienced executive oversight as soon as they can. Tech entrepreneurs are programmers, designers, and dreamers, who don’t necessarily know how to manage human resources, financial reports, or investment decisions.
Small enterprises face high-risk scenarios with little room for error. Tech veterans are recognizing the role board oversight plays in navigating the early stages. Young companies need greater involvement from directors and the chair than well-established institutions. Their needs are causing a major rethink when it comes to governance. Board portal software plays a major role in engaging directors and enabling them to stay on top of day-to-day business operations. Easy document distribution, real-time document annotation, and simplified meeting minute archiving make management resources readily accessible on and offline.
Security is a pressing issue in the competitive technology world. The people at Aprio prioritize board portal confidentiality and privacy, and they offer home country server hosting so that your sensitive reports are not subject to another country’s legislation. As your firm expands, the possibility for misdirected communications multiply, including sensitive documents attached to emails. Administrators with access to board portal software can restrict viewing and printing privileges, creating multiple layers of access that are unavailable in free file-sharing services, email attachments, or print. If you’re interested in adopting board portal software, research more security features at Aprio.net.
Directors need independence in the technology industry. This is not a question in more established business models, but startups are often dominated by dynamic, energetic founders. They can fall victim to “Founder’s Syndrome,” an overconfidence in their own abilities. They have an uncanny ability to program, a vision, and a core set of values for their business, but these talents do not necessarily lead to the best management decisions. Clear boundaries need to be established from the start between the founder’s and directors’ responsibilities. Tech companies benefit from the experienced guidance of engaged directors, and board portal software from Aprio can help keep them in the loop anytime, anywhere. A great idea is just the beginning; a great business requires sound decision-making. Set yourself up for good governance early with an effective, secure portal platform.