Founders Institute Advisory Agreement
With a single signature and a control box on the FAST consulting agreement, consultants and contractors will be able to agree in minutes on how they will work together, on the correct amount of return on equity and what needs to be achieved. All you need to do is download the FAST agreement and fill in and sign the page details to start working. But before you do, you need to know how to hire the right advisor for your business (as an entrepreneur). As a result, we created «FAST» (Default Template) which defines the standard conditions and allows us to define a consulting agreement by simply checking a few boxes and signifying the polka dot line. The aim is to promote cooperation between experienced and new founders, both within and outside the founding institute. The conditions for exercising the FAST agreement are described at these three fundamental levels of the ideas, startups and growth phase and vary according to the commitment of each consultant to the company. This document was published in 2011 and has been updated since then. In 2017, a version 2 of the Fast Advisor agreement was released, which contained a number of additional improvements, including: Once your startup is launched, there will be a few different types of actions that you will need to know at different stages of your business. In the Silicon Valley Startup Attorney Article «Founders & Startup 101: I) Forms of Equity,» Chris Barsness describes the most important terms founders need to know in the world of Equity and Vesting startups. Below is a summary of the main definitions you need to know: contractors need to take care of consultants carefully. Just because someone has a good reputation or has expertise doesn`t mean they`re a good advisor or there`s the level of good chemistry needed. The Founder Institute recommends that an entrepreneur work with a potential consultant for at least a month and spend at least 8 hours together before discussing the FAST agreement.
The FAST agreement includes a three-month «pitfall» in equity admission, which makes it possible to end an unproductive advisory relationship without having the weight of the equity allocation in the first three months. Founding shares – the shares issued by the company to the founders of the company. The FAST agreement recommends standard equity grants for a single advisor. It`s not uncommon for a tech startup to allocate a 5% equity pool to a group of strategic advisors or an advisory board. And one of the biggest problems many startups face is a well-thought-out deal for consultants who work for a new company. No one has been able to get the exact format of how to make a fair deal. This is why the Founder Institute has developed the FAST model contract for contractors. The advisors referred to in the FAST agreement are founders and senior managers for strategic advice through advisory board roles, and these advisors are normally compensated by equity. .