As an executive, you may be ideally positioned for an independent board role for a private equity-backed company.
Globally, approximately 10,000 private equity firms have more than $3.9 trillion in assets under management.
In North America alone
approximately 4,700 firms own more than 18,800 companies.
Keep this in mind when you are considering board opportunities. Many executives have their sights set on Fortune 500 boards when thinking about the corporate leaders of the economy; however, private equity firms and their portfolio companies have an outsized ability to influence the status
quo of the business community.
According to friend
and colleague, Beverly Behan, author of New CEOs’ and Boards, money is typically not the motivation for taking on board roles. She says that board directors motivated primarily by money are often the weakest members of the board.
Many active CEOs serve on boards to genuinely help while helping themselves work with their own boards more effectively.
From our interview with director candidate, Jonathan Bennett (now a board member of two privately held boards):
How do you recommend others to prepare for a board interview?
“Figure out the problem they are trying to solve with this Board position. What gap do they have? What business problem are they
facing? Position yourself as the solution to it. This is your value proposition. It needs to be framed concretely for them—it’s not about you. Join the dots, explicitly, between their problem(s) and your experience. Don’t leave it up to them to do that work—they might get it wrong. Make those connections clear and, frankly, blunt.”
In our latest article, we share further insights around landing a board opportunity, including a before vs. after board resume (what to do and what not to do). We lend some insights around board
compensation and included a board resume checklist for your use.
