Advisors · Advisor Equity

What's the best advisory board paperwork/ structures/ rubric?

Daniel Weisman Head of Office at The Weisman Family Foundation

October 7th, 2014

I'm very excited about this advisor; he'll be our company's first. I want to make sure the agreements make sense for all parties and are easily digestible by all parties.

Keith Hopper Product Innovation

October 7th, 2014

I've signed on as a formal advisor to a startup using Founder Institute's FAST equity approach and form. It greatly simplifies the conversation.
http://fi.co/contents/fast#

Jessica Alter Entrepreneur & Advisor

October 7th, 2014

FounderDating templatized the advisor agreement with Orrick and Gunderson and there is a rubric on equity >> http://members.founderdating.com/resources/templates. Keep it simple.

Daniel Weisman Head of Office at The Weisman Family Foundation

October 11th, 2014

Thanks everyone for the great templates and recommendations.

John Mullane Entrepreneur | Founder of Illumen

October 7th, 2014

Daniel, I wouldn't overthink the Advisory Board structure - here's a Advisory board agreement template from the web that is solid: http://www.foundersspace.com/wp-content/uploads/advisor_agreement.pdf Here's the conceptual Advisory Board guidelines I gave to a company I am working with as an advisor which is putting one together: · Professional structure - I think the right professional structure is empowering for both company leaders and advisors - gives you complete confidence when requesting support or help, sharing successes or challenges. · Contractual agreement (to ensure accountability and professionalism) to articulate: - Time commitment - 15-20 hour monthly commitment which equates to 4-5 hours a week which I think is very reasonable - Specifically stated expectations and duties - Objective basis and process for discontinuing relationship if not working - Non Disclosure agreement (NDA) requirement · Compensation - common stock options of around .25-2% of company - no cash - vested over 2-3 years · Desired expertise & experience · Good cultural fit - what intangibles you guys really value (e.g., fun, positive, humility, etc.) Hope this is helpful. J.J. Mullane

Brenton Webster

October 7th, 2014

I like the FAST template by the Founder's Institute. It's also got a great framework for figuring out what the advisor's commitments should be and how much equity they should get given the stage of your company.

http://fi.co/contents/fast#

Cheers,
Brenton