Im a co founder of a SAAS application and we found a good adviser, we just need to prioritize what we need help with and what they are comfortable advising on.
But what can we expect from the adviser? What is a typical agreement?
Is it as simple as - The adviser will offer X hours of time a month for Y? or is it more detailed than that?
It can be as simple or as complicated as you need it to be.
For my first startup we have a few board members, compensation was .5 to 1% equity for monthly meetings vested at 1 year.
They are advisors and as such you should ask them what they expect from you, you from them and provide a framework of the future together - let them know what to expect - don't waste their time and only bring them in for meetings when you are absolutely confused in your immediate path or long term goals and have them provide feedback & their network
I've advised a number of companies and have seen different types of advisory agreements. They can be in the form of options, equity grants or some other hybrid form. The terms of the agreement vary depending on a number of factors such as the technical capacity of the advisor, expected term of the relationship, fair market value of your company, etc. The agreement is usually short but the discussions can take a long time. If the advisor is a technical advisor, then there are issues around intellectual property which should be addressed.
You can define a percentage in the beginning and vest this over a period of time. Vesting every month vs at the end of every year is more favorable for the advisor. Vesting 100% at the time of exit before the engagement period runs out is also advisor friendly.
Schedule a call if you'd like to speak with me in detail.
I have served on over 40 corporate boards and advisory boards. What you can expect from any advisor depends on the advisor's experience base and character. Some advisors take all the air out of the room and require massive amounts of care and feeding. Others are nearly invisible. Probably so long as you understand what you want from the advisor and communicate it to them clearly, you will have good results. Let me know if this was helpful and if you would like to discuss the matter further.