At the top of a business, you have the Chief Executive Officer (CEO) or the Managing Director. This is the person ultimately responsible for the performance of the business. If it’s your business, it’s you. The CEO/MD reports to the Board of Directors and will usually sit on the Board. The Board represents the interests of the shareholders.
The person who leads the Board is the Chairman or Chairwoman. The CEO runs the company, and the Chair runs the Board.
If you run your own micro business, then you might be both the CEO and the Chair. It’s a question of hats. However, even in quite modest size businesses it’s better, in my view, to separate the roles of CEO and Chair. Being both is like wanting to have your cake and eat it.
Your Chair might be a seasoned business professional in their own right; someone with buckets of experience who will act as a coach for you and ask some pretty penetrating questions about the company. There are some large companies where the CEO is so egotistical that they are also the Chair – they might be called 'Caesar'.
Companies need balance and a Chair can often bring that. Don't make the mistake of thinking that your omnipotency is going to get you through!
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