A startup advisory agreement is an agreement between a startup and one or more individuals who provide advice to the startup in exchange for compensation. The purpose of an advisory agreement is to establish the relationship between the parties and clarify the scope of the advisor's services. Advisors typically provide business, legal, or financial advice to a startup in exchange for equity or other compensation.

An advisory agreement should be used when:

• The startup is seeking advice from an expert in a particular field
• The advisor is not providing any other services to the startup, such as legal or financial services
• The advisor is not an employee of the startup
• The advisor is not a Board member or shareholder of the startup
  

The advisory agreement should include, at least:

• The names and contact information of the parties
• A description of the services to be provided by the advisor
• The compensation arrangement between the parties, including any equity to be granted to the advisor
• The term of the agreement

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