Designing an Advisory Board That Actually Adds Value

Advisory Boards Are Broken.

Here’s How to Build One That Actually Helps.

Too many founders build advisory boards for optics or because investors suggest it. They pick a few high-profile names, hold a few meetings, and hope for magic. But instead of getting value, they end up spending hours repeating the same updates, fielding surface-level advice, and wondering if it’s even worth the effort.

Here’s the truth: most advisory boards suck. They’re not structured to help. But when built intentionally, with the right people and setup, an advisory board can become one of your most powerful tools for growth, clarity, and trust.

At Founded Partners, we’ve chaired, built, and served on dozens of advisory boards. This guide will walk you through what actually works — and what to avoid.

Why Most Advisory Boards Don’t Work

Let’s start with the honest part.

Most advisory boards exist to check a box. Founders create them to satisfy investors, gain surface-level credibility, or signal maturity. But once they’re in place, they quickly become more work than they’re worth.

Common problems include:

  • Too many advisors, not enough alignment

  • Founders having to give the same updates over and over

  • Advisors who don’t understand the business or offer out-of-touch feedback

  • Quarterly meetings that feel like status reports

  • Little follow-through between meetings

In the end, founders lose time, energy, and trust in the concept of having advisors at all.

What a Great Advisory Board Actually Does

A well-built advisory board does not drain you — it helps drive your business forward.

Done right, an advisory board:

  • Acts as a sounding board for your biggest strategic decisions

  • Offers introductions at exactly the right moments

  • Helps your leadership team grow and improve

  • Adds experience from people who’ve done what you want to do

  • Builds external trust and credibility with stakeholders

It’s not about having a room full of smart people. It’s about having the right people, in the right roles, with the right structure.

How to Build an Advisory Board That Actually Adds Value

Here’s how to do it properly — with no fluff.

1. Know What You Need

Before you invite a single person, get clear on your goals. Are you:

  • Entering a new market?

  • Preparing for a raise or exit?

  • Looking for operational experience to support your leadership team?

  • Trying to build external trust with customers, regulators, or investors?

Your board should reflect your needs, not someone else’s expectations.

2. Pick Advisors Who Have Seen the Movie Before

Don’t just bring on the most famous names. Choose people who have actually done what you are trying to do.

  • Want to expand into the U.S.? Bring on someone who’s successfully scaled cross-border.

  • Want to sell or go public? Bring on someone who’s gone through M&A or led an IPO.

  • Need credibility? A former politician, regulator, or respected public figure can go a long way.

  • Need technical depth? Bring on a former CTO or senior product executive.

Experience matters more than prestige. Focus on utility.

3. Appoint a Strong Chair (This Is Crucial)

This is where most boards go wrong. No one’s in charge.

Your board chair should be someone you speak with every week or two — someone who deeply understands your business. Their job is to:

  • Advise you directly

  • Help you make tough calls

  • Filter and structure input from other advisors

  • Keep the rest of the advisory board aligned

  • Lead quarterly meetings and follow up between them

You should not have to explain everything from scratch every quarter. Your chair handles that.

4. Always Have a Vice Chair

Things happen. Your chair could step down, get busy, or go offline. Always appoint a vice chair who:

  • Has full context of the business

  • Can step in without delay

  • Maintains consistency and momentum

Think of it like insurance. You hope you don’t need them — but you’ll be glad they’re there if you do.

5. Compensate Thoughtfully

Advisory boards don’t need to cost you much in cash. But they should be rewarded for their time and value.

We recommend stock options, vesting over time. A simple structure:

  • 2-year term

  • 25% vesting every 6 months

This keeps advisors committed and aligned with your long-term success — without bloating your burn rate.

6. Structure It for Real Use, Not Ceremony

Most advisory boards feel like a quarterly task. That’s a mistake.

Set it up like this:

  • Quarterly Meetings: Structured, strategic, and led by the chair

  • On-Demand Support: Advisors should be accessible to you and your senior team between meetings

  • Chair Calls Every 1–2 Weeks: Keep tight alignment with the person advising you most

The board should never feel like a show. It should feel like part of your executive toolkit.

The Chair Is the Engine of the Board

Your chair is not just another advisor. They are the link between you, the business, and the rest of the board.

Their role:

  • Stay in sync with you on strategy, goals, and key decisions

  • Update other advisors so you don’t have to

  • Keep meetings focused and useful

  • Coach and challenge you as needed

  • Help you get the most out of the board without it becoming a burden

This is why at Founded Partners, we often serve as board chairs. It’s one of the highest-impact roles we can play in a founder’s journey.

Signs Your Advisory Board Is Working

Here’s how you know your board is actually helping:

  • You make faster, better decisions

  • You don’t have to explain your business over and over

  • You’re getting introductions that lead to results

  • You feel challenged in the right way

  • Your team is learning and growing through access to experts

  • You trust your chair to keep things moving

If these aren’t happening, your board needs to change.

We Help Founders Build Boards That Work

At Founded Partners, we help founders build, structure, and chair advisory boards that do what they’re supposed to do — unlock value.

We’ve:

  • Built and chaired dozens of boards across industries

  • Supported companies through expansion, M&A, fundraising, and governance

  • Worked side-by-side with founders as real-time thought partners

Whether you need help structuring your board, choosing the right advisors, or want a chair who actually drives results — we’re here for that.

Let’s Build Yours

If you’re ready to build an advisory board that actually helps you scale, let’s talk.