“I have a couple companies interested in my help as an advisor. I've taken on one opportunity in exchange for equity. But I'm totally winging it! Where do you ever learn to be an advisor (or at least a good one)? “ - Old Friend of Aaron
dear Old Friend,
first, we are all winging it. the future is about “confident agility” (not predictability) as the world gets more and more connected, which means more changes, more often.
here are a few structures i’ve used + things i’ve learned after ~15 years of advising people on growing sales in ways that feel meaningful.
where i started out (in order)
2006: in-depth assessments
This is more of a project-based format. It can go for 3 to 6 months on a flat fee. There’s generally a long paper trail of proposals in place, start time and end time, ect.
2007: consulting
2008-2019: coaching (teaching a team to fish)
They typically reach out and ask “hey, would you like to be on the company’s board?”
If you say yes, your name goes on to the website and they provide equity that ranges from 0.1% to 1%. It really depends on what stage the company is at.
Now, around the end of 2020, along with the pandemic i was able to exit my old Predictable Revenue business to be independent (including the start of this newsletter and new content ideas), resulting in being able to do more sales advisory work + join company boards:
2020-present: Sales Advising (amplify execs with advice + referrals/resources)
I have a retainer, where it’s more like a gym membership. I have a small number of pre-scheduled calls with the ceo/cro a month, plus any chats on-the-fly as needed.
Simple format, one sends a simple invoice, and mostly paid by cash. Sometimes you can do a combination of equity and cash. I prefer cash, as this is my main income, and equity can complicate things (i still have a big hungry family to feed).
2020-present: Board Member / Non-Executive Director
They typically have a longer-time frame of expectations. Compensation is mostly a monthly or annual salary, sometimes there is equity. Pre-covid, being on board means you have to travel and attend meeting in-person. That’s changed now, as many are okay to meet virtually.
At the moment, based on my lifestyle, what has worked for me is sitting on boards and sale advisory roles. It made a difference that I have gained the necessary experience.
Before you take on any advisory role, ask a few questions:
What stage of life/career are you
How can i best help companies
Are we a good fit together
How can we succeed together
Lessons:
A great thing about services is you can design anything you want relatively easily (just edit a page). The tough thing: ‘what the heck am i offering, should i change it’... just get used to feeling that way, it doesn’t mean anything is wrong.
Don’t let “Imposter Syndrome” stop you from stepping into something you want to do and grow into. It’s a common friend when doing something new.
“Who” you work with matters A LOT.
Happy helping!
🦄
air
“Dear Aaron, how do I advise companies…’cuz I’m winging it”
Thanks Aaron
This was massively helpful! Thanks.