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What are advisory shares?

Advisory shares, also known as ‘advisor shares’, are a type of stock given to company advisors instead of employees. Start-up companies most often use them as an alternative compensation since they typically lack the necessary cash flow to adequately compensate these advisors.

Do advisory shares have value?

While advisory shares can have value if the company achieves success, they do not carry the same level of ownership and control as regular equity shares. Regular shares and advisory shares differ in several key aspects:

What are the different types of advisory shares?

Traditional Advisory Shares: These are the most common type of advisory shares. They are granted to individuals who provide expertise, industry knowledge, and guidance to the company. Traditional advisors may offer strategic advice, mentorship, or access to their networks to help the company succeed.

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What are advisory shares?

Do advisory shares have value?

What are the different types of advisory shares?

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