Small business advice

[Kelvin Jones]

Hi there,

I am currently thinking about getting some advisers on board to help steer the startup that I'm creating.

I would love to hear people's experience in this area. Did you just talk to a couple of mates? Set up an advisory board? What's the best way to get advice for a startup?

Cheers,

Kelvin

[Richard Boyd]

The process varies from project to project for us, however, most of the time when looking for specific advice I just go out and find a person with the right knowledge/skill set.

As for talking to a couple of mates, unless they have very specific skill sets needed for a project I would personally avoid that option.

[Kelvin Jones]

And what kind of reward do you offer these people? A stake in the business?

[Alex Bellinger]

Sometimes you'll want/need to offer a small percentage of the business, say 0.5%. On other occasions if an advisor is particularly taken with your business they might be happy to sit on an advisory board for a good lunch!

There are some interesting blog posts on the topic by VCs. Try search Ask The VC first.

[Richard Boyd]

Sorry Kelvin

I must have missed the email notifying me of your reply.

My offer... I negotiate first with whomever I am going to talk to. Many people are very good with their time and advice and as Alex has pointed out will be bribed ;) with lunch or an advisory role. However, many people are happy to give their time and knowledge for free just to help a project get off the ground.

As for offering a stake in the business. I rarely found myself in the position of needing anyone that badly. I would have to be in the position of needing funding, and swap equity for otherwise unraisable funding.

[Kelvin Jones]

Thanks for the advise guys. I appreciate it.