3 Errors Made by Small Business CEOS
Rick Smith is the co-founder of Crosscut Ventures (http://crosscutventures.com/). You can watch more content here onDocstoc.
- 1. CEOs are quick to share good news but slow to share bad news. Get whatever it is out as soon as it happens.
- 2. Many CEOs don’t manage the board actively. Manage up and manage those below you.
- 3. Some are not willing to hire people with more experience than them.
As an venture capital investor over the years, I’ve seen CEOs make several mistakes but there’s three that seems to standout intend to repeat themselves over and over and I’d like to talk about those.
Number one, many of us in general but CEOs in particular are quick to share good news but slow to share bad news, okay. Whatever it is, get it out there and get it out there as soon as it happens, don’t wait to tell your board of investors the bad news. Let’s get it out and let’s talk about it.
Number two, you need to manage the board actively. As a founder of CEO of startup company you spend so much time hiring people, trying to get new business, trying to get new relationships that you forget you need to manage up not just manage down. So, don’t forget, manage your board and use your board of directors and board of advisors actively and intelligently.
And number three, the third mistake I see made especially out of the younger CEOs is a tendency to be unwilling to hire maybe more experienced people than themselves and people that maybe have a higher pedigree and whatever it is they’re doing. Don’t be afraid to hire up, right.
So, what are those mistakes again and how you correct them, share all news good or bad, manage your board actively and don’t be afraid to hire more experienced folks.
Here are three mistakes that stand out and repeat themselves.