does anyone have experience with advisory boards?

by a professional from The University of Chicago - Booth School of Business

3 years ago

joining an advisory board of a fintech company (post revenue).
Any benchmarks on compensation? What is the amount of stock options usually awarded? 
What are the terms? (duration, engagement model)
Thank you in advance

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professional from The University of Chicago - Booth School of Business

Michael, Anand, Luke. Thank you very much for your feedback and input. It validates the initial thinking I had in mind and will help framing the discussion with the management###-###-#### % seems to be the benchmark with up to 5% ownership as additional input. I have seen 1-3% ownership reserved for executive (COO, CTO, CFOs).

For people irritated by my post I apologize. I thought this forum was for professional to share experience and help each other. Peace.

3 years ago | like reply | 1 like

searcher from Arizona State University

As has been mentioned it is as wide and varied as the many different scenarios out there. Generally what I have seen are $.01 strike price warrants up to 1%- 5% of your company. Usually there is some kind of monthly or quarterly meeting, plus adhoc engagement, opening networks etc..

In the startup space I have heard of entrepreneurs not allowing advisors on the board unless they are putting up cash towards the startup. Otherwise there are plenty of people willing to get on your board of advisors that will only contribute time and knowledge and not capital. Some version of that thought process could serve you will in the EtA space as well. My $0.02. Hope this helps in some small way.

3 years ago | like reply | 0 likes

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