This report looks closer at the role and value of non-executive directors (NED) in the small and medium size enterprises (SME) market. ACCA sponsored this report together with TLT, Transpire and Practice to support the growth and development of SMEs. An extensive review of the literature on the use of NED’s in SMEs and in-depth interviews with NEDs and Executives were conducted to address the following six key factors:
• What is the need for NEDs in the SME market?
• What is the recruitment process for NEDS and who determines who is hired?
• How are NEDs integrated into the board/company, for example, through networking, mentoring, and induction programmes?
• What does a NED role entail in an SME?
• What are the challenges for NEDs and their organisations?
• What are the terms of engagement in relation to NEDs?