In a startup, having the right people around you and advice is crucial. When you want to engage more formally with your advisors it’s important to have an Advisor Agreement in place.
When you create the Advisor Agreement you can specify your expectations of the advisor in terms of their role - for example to help with networking and introductions, as well as their responsibilities to you - such as an agreement to treat any information they acquire in the role as confidential.
Our Advisor Agreement lets you pay the advisor in cash, equity, or a combination of the two (equity only is the most common).
In the same way that you would never pay someone in cash for an entire year's worth of work - you always pay by the month, you never pay for work that hasn't yet been done - similarly if you give the advisor shares or share options, they should always have a vesting schedule, which means that if the advisor leaves or is terminated early they don't get all their shares or options, only the fraction that have vested up to that point.
For example, if they are given 3% of the shares with a 3 year vesting period, they would vest 1/36th of the shares each month, until all of the shares are fully vested and they own them all even if they leave or are terminated.
Our Advisor Agreement gives you a wide range of flexilitly to choose the vesting provisions that work for the company and the advisor, also cover what to do in the event they leave or are terminated.
You'll find the Advisor Agreement in Quick Agreements, it takes just a few minutes to complete and share with your advisor ready to be agreed and e-signed.