Entrepreneurship, Second Edition

6.6. External Team Members

Although your core team is critical to your venture's success, you will leverage the team's efforts by building a strong virtual team—that is, all those who have a vested interest in your success, including professionals you contract for special needs, such as lawyers, accountants, and consultants. It also includes those who have invested in your business, especially if they have valuable expertise. For instance, you'll be well served if you secure angel investors who are successful entrepreneurs in your industry. You may also be able to gain help from those who haven't financially invested in your firm but are interested in helping new businesses succeed, perhaps by serving on advisory boards for new companies. Finally, at some point you'll likely pull together a board of directors, which is required by law if you are incorporated. Let's examine each of these outside team members in more detail.

6.6.1. Outside Investors

When you are considering bringing on outside investors, whether in the form of angel investors or venture capitalists, never underestimate the value these team members can bring with their experience and wisdom. For many angel investors in particular, the experience of working with a startup is as much about the satisfaction of mentoring a young entrepreneur as it is about financial gain. Take, for example, the story of Norm Brodsky, the long-time entrepreneur and contributor to Inc. magazine. In describing his decision to invest in ...