Business First Family Business, Accounting, Finance, Investing, Marketing And Management
Much of the day-to-day operation of your business takes place in the office among you, your friendly new coworkers, and your employees. However, they aren’t the only people you have to think about. You’ve got shareholders to think about too.
The last thing you may want to do at the end of the day is go above and beyond to maintain a relationship with your shareholders, but it is important to the long-term success of your business. It doesn’t have to be difficult or stressful either! Here are just a few ways you can create and maintain professional and social relationships with your shareholders.
Use Modern Technology To Manage Stock Shares
Shareholders want to make sure you’re managing their investment wisely. You can demonstrate that’s what you’re doing by managing private company shareholder information in a blockchain-enabled platform.
There are multiple benefits of managing information with a trusted company. It ensures that you’re able to keep track of data and make better decisions with predictive analytics, which shareholders will appreciate, but it also shows them that you’re open to using modern technology. They can trust that you’re managing the business well if you’re managing stock information safely.
A secure platform can also enable employee stock plan tracking. That’s something your employees will appreciate, but your shareholders will appreciate it too because it means you’re taking a thorough, integrated approach to business investments.
Have The Right Insurance
Shareholders want you to maximize profits, which sometimes encourages management to cut some corners. Business insurance is an easy place to reduce costs, but it can leave you open to disaster.
Even if it costs more money, having a complete, thorough policy is the best way to protect your business from a wide variety of threats. That might mean protecting against natural disasters, cyberattacks, and theft, but it also means demonstrating to your shareholders that even they can’t upend the business.
Make sure you invest in shareholder protection insurance. That way, should something happen to a shareholder, you still have the ability to maintain control of the business and ensure the transfer of shares happens as smoothly as possible.
Keep Them Informed
When you get into the grind of day-to-day life, it’s easy to forget to communicate with your shareholders. It may even create frustration because they aren’t doing the work, and yet, you have to take time out of your day to talk to them. Even if it feels irritating, it’s well worth your time.
Talking to your shareholders and keeping them informed is extremely important, so make time in your weekly schedule to tell them what’s going on.
A few ways to keep in touch include:
- Sending out quarterly updates
- Hosting a Q&A forum
- Having days where they can visit the business
- Scheduling in-person or productive phone meetings
Building a positive relationship also means being available. If you answer the phone and return emails promptly, they can be confident that you don’t have anything to hide.
Invite Their Involvement
It’s easy to think your shareholders are only interested in profit and minimizing risk, but most truly want to see you and the business succeed. You may be surprised to learn that your shareholders would love to contribute to the business in other ways besides financing.
Allow them to participate in the office in ways that help your team and use their strategic influence to your benefit. The more involved they are, the more likely they are to make decisions you agree with, and the less frustrated you will be that they’re making decisions when they aren’t involved in the day-to-day operation of the business.
Stay As Consistent As Possible
Consistency is a little-known factor of success. It can make managing your business easier, it can boost your reputation with customers, and it can boost your relationship with shareholders. Inconsistent messaging and communication can result in a loss of trust and cause your shareholders to make decisions you aren’t happy with.
Send out newsletters at the same time, keep the tone and format consistent, and demonstrate the consistency of daily operations. It will put their minds at ease that the business is being managed effectively so there’s no need to intervene.
As much as you might like your shareholders to melt into the background and let you get to work, it’s actually better to ensure they participate in your business. Create a positive relationship with your shareholders and you’ll think of them as members of your team instead of people to be avoided.
