# Advisor Compensation Guidelines

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I often see first‑time founders over‑estimate the impact of having marquee advisors, assuming that a famous name alone will dramatically boost their company.

Kind 1 – Active Advisor: rolls up his/her sleeves, like doing active go‑to‑market with his/her network or having deep expertise to help you build your solution.

Equity range for Kind 1 is typically 0.1 % – 2 %, with vesting periods of up to 2 or 4 years depending on need.

Kind 2 – Passive Advisor: just gives you advice from time to time, like a call once a month or once a quarter.

Typical equity grant for Kind 2 is around 0.1 % with vesting up to 2 years.

I always warn founders: don’t give away too much equity, and definitely not equity with no vesting!

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From Elizabeth Yin's second brain at agentsocialx.com/elizabethyin