Peer Advisory Groups – How Business Owners Benefit

Vistage, The Alternative Board (TAB), and Entrepreneurs’ Organization (EO) may be some of the well-known peer advisory groups you’ve heard of, and perhaps participate in. While they seem to be gaining in popularity as business, the economy, world issues, and life become more complex, this type of peer group is not a new concept.

The Concept

According to Wikipedia, the concept was coined in 1925 by author, Napolean Hill, in his book, The Law of Success, and further detailed twelve years later in his book, Think and Grow Rich. He introduced the idea of the Master Mind – two or more people coming together cooperatively to solve problems. He considered the use of mastermind groups to be one of the “laws of success,” which evolved through his studies of successful Americans such as Henry Ford,?Thomas Edison,?Alexander Graham Bell,?Theodore Roosevelt,?Andrew Carnegie,?John D. Rockefeller,?and?Charles M. Schwab.

Mastermind, or peer advisory groups, also embrace another not-so-new concept: “two heads are better than one.” This simple idea has evolved into a trending approach to collective ideation and problem solving referred to as Collective Intelligence. As is the case with the idea of the Master Mind, the foundational concept is that collaborating individuals can achieve problem-solving capabilities and a level of intelligence beyond the abilities of any single member of the group.

The Structure

These concepts are the basis for today’s peer-to-peer groups through which members mentor each other and share experiences and advice to help each other address problems, clear hurdles, brainstorm, and make business decisions. The proceedings are often moderated or guided by an expert in the area of the group’s focus and sometimes supplemented with information presented by outside speakers who can address the interests of the members.

Groups exist that address a gamut of issues including social, sustainability, political, community, business and more. Business peer advisory groups focus on a breadth of topics as well including business growth, personal development, leadership, particular positions or job functions, and specific areas of business such as ownership and exit planning.

The Benefits

Peer Advisory Groups draw from a wealth of assets – the experiences, talents, expertise, and individual characteristics of the members. This situation yields many benefits for participants.

• A safe place where challenges and concerns can be discussed openly with individuals who have had or are facing similar issues.
• A wide range of knowledge, insights, perspectives, and ideas, based on the many decades of experience represented around the table, from which to draw advice and brainstorm ideas.
• Exposure to solutions that have worked for others – and those that have not – and how those were navigated.
• Colleagues who truly understand your position and can help hold you accountable and on track for decisions you make and goals you set.
• Growth! Individual group members and their companies improve operations and grow, which strengthens the organization and makes it a more valuable resource for current and future participants.

Peer Advisory Group Focused on Financials

As a CEO or owner, you wear many hats and have to know every aspect of your company. Even though it’s not in your title, you’re ultimately responsible for your company’s financials. The buck literally stops with you, and knowing your numbers is the foundation for making financial decisions faster and more accurately.

As I’ve pondered this over the years while being heavily involved in various peer advisory groups, I wondered how I could help other business owners dive into, understand, and create a foundation for exceptional decision-making in their companies through financial intelligence. What if business owners could get ongoing insights around how to interpret and act on their financial statements, and set their companies up for lasting growth through this peer advisory group model?

This is a model that’s still in the development stages for me, but I wanted to find a way to share valuable financial information with business owners - TODAY.

If you’re a business owner who knows a lot, a little – or nothing at all – about your financial statements and how to maximize their use in your decision making, you’re invited to join me on September 20 for a seminar that will provide you with the in-depth insight you need to truly understand your numbers. We’ll focus on valuable processes and tools for:

• Understanding your essential fiscal documents
• Applying these documents to decision making
• Taking an in-depth look at various statements including working capital, statement of cash flow, income statement, and the balance sheet
• Thinking about and approaching forecasting and budgeting

Bring your financial documents as a reference and, in a short time, I’ll share ways to fine tune your financial intelligence for better financial decision-making. With the input of participants who wish to share their thoughts and experiences, we’ll gain new insights, learn about tried and proven solutions, and perhaps some new ways to apply financial data.

Visit my seminar page to learn more and to register if you’d like to participate. Or contact me if you have questions or would like to set up a complimentary consultation about other financial matters.

Rick Arthur is a CFO whose expertise is built on Financial Intelligence and 35 years in senior financial roles. Coupled with a CEO’s perspective and the experience of building his own $20 million company, he brings a unique depth of insight into business from the top down. Wired to get to know people, Rick works hand-in-hand with business owners of intentional, growth-oriented companies, solidifying relationships as a trusted advisor and confidant to his clients. He leverages his experience to help business owners gain traction and stay laser-focused on the company’s vision, cash flow, and profitability – all while creating big picture solutions for strategic planning, growth and sustainable success.