The role and influence of external directors in small, entrepreneurial companies: Some evidence on VC and non-VC appointed external directors

The paper provides an analysis of the role of 'external' or non-executive directors and their relationship with entrepreneurs in small growth companies, focusing on their impact and style of intervention. We provide qualitative and quantitative analysis of research based on 46 face-to-face interviews with CEOs in small entrepreneurial companies, undertaken in Scotland. Further analysis has been conducted on a sub-sample of firms who have external directors appointed as a result of raising venture capital to compare the impact and role of VC appointed and non-VC appointed board members.