Advisor Agreement Template for United States

An Advisor Agreement spells out the working relationship between a company and its business advisor, consultant, or expert. It defines how the advisor will share their expertise, guide decision-making, and support the company's growth while protecting both parties' interests.

The agreement covers key details like compensation (often including equity or stock options), confidentiality requirements, and the scope of advisory services. It also addresses important legal points such as intellectual property rights, conflict of interest guidelines, and terms for ending the relationship - making it essential for startups and established companies alike when bringing on strategic advisors.

Use an Advisor Agreement when bringing on experienced professionals to guide your company's strategy, technology, or market development. This becomes especially important for startups seeking industry veterans who can open doors, provide crucial insights, or lend credibility to raise funding.

The agreement needs to be in place before the advisor starts providing any meaningful guidance or accessing sensitive information. Having clear terms from day one helps prevent misunderstandings about equity compensation, confidentiality obligations, and time commitments. This protection becomes crucial when advisors work with multiple companies or hold roles that could create conflicts of interest.

• Standard Advisory Board agreements detail roles for ongoing strategic guidance and often include equity compensation
• Technical Advisor agreements focus on specific expertise areas like technology or product development
• Industry Expert agreements emphasize market insights and business connections
• Academic Advisor agreements outline research collaboration and intellectual property terms
• Short-term Consultant agreements specify project-based advisory work with clear deliverables and timelines

• Startup Companies: Seek expert guidance for growth, often offering equity compensation to attract top advisors
• Industry Experts: Provide strategic guidance, market insights, and valuable connections while protecting their time and reputation
• Corporate Legal Teams: Draft and review agreements to ensure proper protection of company interests and compliance
• Board Members: Review advisor appointments to maintain proper corporate governance and oversight
• Company Founders: Negotiate terms with potential advisors and manage ongoing advisory relationships

• Advisor Details: Gather full contact information, professional background, and any existing relationships with competitors
• Scope Definition: Define specific areas of expertise, expected time commitment, and deliverables
• Compensation Terms: Determine equity amounts, vesting schedules, or cash compensation structure
• Company Information: Compile relevant business details, intellectual property concerns, and confidentiality requirements
• Timeline Planning: Set clear start dates, term length, and performance review periods
• Documentation: Our platform generates customized agreements that include all these elements while ensuring legal compliance

• Services Description: Clear outline of advisory duties, time commitments, and expected deliverables
• Compensation Terms: Detailed breakdown of equity grants, vesting schedules, or cash payments
• Confidentiality: Comprehensive protection of company secrets and proprietary information
• IP Rights: Assignment of intellectual property created during the advisory relationship
• Term and Termination: Duration of agreement and conditions for ending the relationship
• Non-Compete: Restrictions on working with competitors during and after the engagement
• Governing Law: Jurisdiction and dispute resolution procedures

An Advisor Agreement differs significantly from an Agency Agreement in several key aspects, though both involve external parties working with a company. Understanding these differences helps you choose the right agreement for your situation.

• Authority Level: Advisors provide guidance and recommendations but cannot bind the company legally; agents have explicit authority to act on behalf of the company and make binding decisions
• Compensation Structure: Advisor agreements often include equity compensation and modest fees; agency agreements typically involve commission structures or fixed service fees
• Duration and Commitment: Advisor roles are usually long-term but part-time engagements; agency relationships often involve full-time or project-specific commitments
• Legal Liability: Advisors face limited liability for their recommendations; agents can create direct legal obligations for the company they represent