Should I have an advisory board?

At this stage of your business – probably. Having a team of experts on your side to vet concepts will work in your favor, if you have the right people on your side.

But you can’t pick just anyone for the job.

Select people who have specific experience in what you’re doing – The people who have been in your position before, whether that is successfully franchised or expanded to a second location. Having their experience as part of the conversation will challenge you in a constructive fashion.

Another component is having people who have the entrepreneurial experience. Starting from the ground-up is a tough road. Having fellow entrepreneurs to share experiences will prove helpful.

But, avoid picking someone based on their stance in the community, or someone who is known for their experience in the academic field. Entrepreneurs need individuals who have experienced risk with their own money and truly understand growth.

If you’re in a specific industry, look for subject matter experts. For example, if you make security mechanisms find someone who is an expert in the mechanics and nuances of these systems. These people do not need to have entrepreneurial experience, but they need to bring professional experience working with these technologies and working in these fields.

There isn’t a one-size fits all solution when it comes to your problems an entrepreneur. Enter your email address below so a Gerber team member can make sure you’re getting the appropriate information for your situation. 

Entrepreneurs who asked this question also wanted to learn about:

Should I pay the advisors on my advisory board?

The short answer is yes, you should pay your board advisors. But avoid giving equity.

You want to avoid giving outright equity to these individuals because giving equity creates minority partners, and minority partners can create unnecessary problems.

Your best choice is to offer your board members payment per meeting. – Somewhere between $1,000- $4,000 per meeting.

Additionally, be sure to make expectations clear on what you’re getting in return, and what they can expect. Outlining time commitment, participation, and level of output per member in writing will help avoid unnecessary problems.

We’re here to help. Enter your email address below to talk with a Gerber team member and help ensure you have all the info you need to make a profitable decision for your business. 

Should I exchange services with the advisors on my advisory board?

In most cases your best bet is to pay your board advisors outright and not engage in bartering. Exchanging services can easily get sticky, and you want your relationship with your board members to be crystal clear.

You are better served paying people outright for their expertise and time.

Providing customized solutions to each business owner is part of our process. Enter your email address below to chat with a Gerber team member about your business questions.  

Find us on   

INTEGRATING LIFE, BUSINESS & WEALTH  614.431.4343 / 1.855.391.1761  121 E. Nationwide Blvd., Columbus, OH 43215
 
Gerber, LLC is an Independent Registered Investment Advisor. Securities offered through Raymond James Financial Services, Inc. Member FINRA / SIPC. Raymond James financial advisors may only conduct business with residents of the states and/or jurisdictions for which they are properly registered. Therefore, a response to a request for information may be delayed. Please note that not all of the investments and services mentioned are available in every state. Investors outside of the United States are subject to securities and tax regulations within their applicable jurisdictions that are not addressed on this site. Contact your local Raymond James office for information and availability. RJ Privacy Policy. This content is being provided for informational purposes only. We do not guarantee that the foregoing material is accurate or complete. The opinions expressed are those of the team at Gerber, LLC and are not necessarily those of RJFS or Raymond James. Raymond James Financial Services, Inc. and its advisors do not provide advice on tax, legal or mortgage issues. These matters should be discussed with the appropriate professional. Links are being provided for information purposes only. Raymond James is not affiliated with and does not endorse, authorize or sponsor any of the listed websites or their respective sponsors. Raymond James is not responsible for the content of any website or the collection or use of information regarding any website's users and/or members. Raymond James corporate Privacy Notice. 
 
Check the background of this firm on FINRA's BrokerCheck.