Michael Bell says a new independent director will bring confidence to investors.
A 30-year-old Reporoa family business has opened its doors to appoint its first independent director in order to improve governance, add value and help it grow to new heights.
The idea of bringing in an outsider was "a bit daunting", said Fiber Fresh managing director Michael Bell.
"Bringing someone we didn't know into the working secrets of our family business was something we had to think about seriously.
"But once we started the process, our confidence grew - it just makes sense now.
"The bigger we get, the more common sense it becomes, because it's about practising good governance."
Initially advised by New Zealand Trade and Enterprise that it needed to consider appointing an independent director to help it develop, Fiber Fresh contacted the Institute of Directors (IoD) to ask about its DirectorSearch service.
"Like most small businesses, we initially didn't know where to go or how to do this, but understood why it needed to happen," said Mr Bell.
"The calibre of the directors the IoD provided us with was unbelievable.
"The process has given us so much confidence."
The IoD maintains New Zealand's largest database of independent directors, and helps companies match individuals' skills and experience with their specific business needs.
The number of directors reported in its most recent survey this year was 1976.
IoD board services adviser Kelly McGregor said the institute was approached by a broad range of organisations looking to appoint one or more independent directors to their board.
"Family businesses in particular are seeing the benefits of having independent and objective views, to assist them in meeting their objectives," she said.
"We work with clients to determine their criteria and use this to provide a long list of suitable candidates for consideration.
"We can also assist with the overall appointment process and regularly participate on selection and appointment panels to provide an objective view."
Fiber Fresh identified experienced Tauranga director and IoD chartered member Grant Jeffrey.
Mr Jeffrey is general manager and a director/shareholder of family business Kiwifruitz, which won last year's Westpac Tauranga Business of the Year Award.
Mr Jeffrey said having an independent eye on a company was not only comforting for shareholders, but also gave external stakeholders more confidence.
"Fiber Fresh is a company with global aspirations," he said.
"A skilled independent director with the right background brings huge value to a company.
"My governance experience of operating in family and corporate environments, an upbringing in agriculture, and international manufacturing and sales across 25 years, provides a good fit for the Fiber governance team."
Mr Bell said the move would bring confidence to its investors, banks and government funding agencies.
Fiber Fresh
* Is a leader in fibre nutrition for calves and horses.
* Employs around 50 staff.
* Exports to a growing number of countries, including Singapore, Malaysia, Hong Kong, Korea, Japan and the Middle East.
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