Building a Team of Business Advisors (Not on Payroll)

When starting a company, the people you may rely on the most for advice are your family, friends, and business partners. Getting counsel from them is good — they can help you start your business and run it through the first few months. But as your company grows, strive to build a team of advisors.

Having a team of trusted advisors will help you overcome hurdles and challenging times. It will also enable you to take your operation to the next level.

Businesses are complex in their very nature, and they require skills from different professions. To successfully run a company, you’ll need legal, financial, marketing, and technical expertise, to name a few. There’s a high chance you won’t be strong in all these fields. You don’t have to do everything alone.

Let’s look at why you need a team of business advisors and how to build one. We will also go over the potential members to have on your advisory board.

Who is a Business Advisor?

A business advisor is a person you appoint to provide advice and counsel to you, your partners, and other leaders in your company. This individual usually has no legal authority to manage or make final decisions for your business. They act as an informal counsel to help you plan and strategize, and to work through problems as they come up.

Building a good team of advisors takes time. Your goal should be to gather an advisory board where each member brings different knowledge and skills. The advisors you recruit at first may not all be a good fit, and that’s okay. You can switch them out with other members as you progress.

Why You Need a Team of Advisors

1. Get Answers Quick

One benefit that comes with having business advisors is you can call them anytime you need them. Whenever you encounter a challenge or situation, you’ll have somebody to help you overcome it right away. For example, assume you own a processing company. You may want to partner with suppliers in your region. An advisor whose expertise is in legal matters can counsel you on how to go about it.

2. Built-In Network

With a team of advisors, you’ll have a built-in network of people who can connect you to other individuals you may need in your business. They can introduce you to potential partners, investors, and other experts in your industry.

3. Credibility

Having a board of advisors gives you and your business instant credibility. It may help you get funding and acquire business partnerships, among other things.

4. Guidance

The main advantage of having a team of advisors is you get people who offer guidance and support in different aspects of your business. It increases your chances of success in running and growing your company.

Potential Team Members

When choosing your team of advisors, it’s important that you understand the knowledge and expertise that each member brings to the table. Strive to find people with a skill set that complements yours. For example, if you are good in marketing and accounting, find advisors in other fields such as business development, information technology, and human resources.

The number of advisors to recruit is up to you but aim to have one person for each field necessary in your business. Here is a list of the members to consider in your advisory team and their roles.

Lawyer

The first person that you should consider recruiting to your advisory team is a lawyer. Lawyers play a vital role in business, regardless of the industry. A good tip would be to go for a lawyer who specializes in corporate law.

A lawyer can help you address legal matters that you may or may not know existed. They can keep you out of trouble while ensuring you comply with the law. A lawyer may also help you with lawsuits that may come your way.

Here are other ways a lawyer can assist you:

Reviewing client, partner, and employee contracts and agreements
Acquisition and succession planning
Shares and asset ownership
Obtaining licenses and other regulatory procedures

HR Consultant

An HR consultant can advise you on employee matters. They can provide counsel on how to interview employees to find the best talents. A consultant may also help you define employee roles and make structural changes as your business grows.

Other roles of an HR consultant include:

Ensuring you comply with labor laws
Provide support on training and motivating employees
Help you assess employee performance

CPA or Financial Advisor

A certified public accountant will be the person you go to with all your financial matters. They can assist you with preparing financial reports, analyzing statements, and ensuring tax compliance. The CPA may also provide guidance when creating a financial plan and budget for the coming years.

Other ways the financial advisor can help you include:

Projecting your business’s costs and earnings
Assessing investment opportunities
Bookkeeping and inventory management

Banker

A good relationship with a banker is key to accessing the funds needed to expand your business when an opportunity arises. The banker may assist you in filling out forms to seek loans and funding. They may also connect you to investors and funding opportunities.

Business Strategist

A business strategist can help you stay on track and direct your business for optimal growth. They may assist you in formulating a plan or strategy to improve growth and profitability. They may also provide counsel to help you implement organizational change in your business.

Marketing Specialist

Every business needs to build brand awareness and promote its products or services. This is the advisor you’ll turn to for those decisions — helping you create strategies for customer retention, set clear objectives, and decide which channels are worth your time and which aren’t.

This advisor can also work with you to analyze your conversion rate and cost per lead, among other things.

IT Consultant

An advisor who’s an IT professional can provide counsel on choosing hardware or software that fits your business. They may also assist you with identifying and implementing the technology systems and infrastructure your business needs. They can work with you in setting up accounting and payroll software and cloud storage applications.

App or Web Designer

If your business has an online presence, you may want to consider having an app or web designer in your advisory team. A designer can help you audit your website to assess if it’s serving the needs of your business. They may guide you on ways to improve user experience and check user analytics. The web designer is the person you’ll call when you have questions about SEO, hosting and domain, and your site’s mobile-friendliness.

Graphic Designer

If your business utilizes a visual marketing strategy, you may want to find an advisor who specializes in graphic design. A talented graphic designer can provide counsel on designing or redesigning the visual identity of your business. You can collaborate with them in creating logos, brochures, and posters for promotion purposes.

Risk and Compliance Consultants

A business looking to innovate, grow and expand into new markets will have to take risks at some point in its life cycle. This part is where a risk and compliance consultant can assist you. They can guide you on how to identify and manage risks in your business. Their counsel will help you make better decisions for growth and expansion.

Environmental Business Consultant

If you are in the manufacturing and processing industries, you may want to find an advisor who is also an environmental consultant. The advisor can offer counsel on creating a waste management policy and conducting environmental audits and assessments. They may also collaborate with you on:

Dealing with environmental hazards
Water, soil, and air assessment
Creating sustainability and green solutions
Ensuring compliance with environmental laws

Sales Consultants

Every business needs to make sales to grow and make profits. A sales consultant can guide you in planning and implementing your sales strategy. They can work with you in setting up KPIs for your sales department and monitoring competition.

Other ways that a sales consultant can help you include:

Identifying bottlenecks in the sales process
Creating strategies for customer retention and acquisition
Training and motivating sales representatives
Reviewing discounts, offers, and coupons to ensure they don’t hurt your business’s bottom line

Social Media Consultants

If you don’t know how to make the most of social networks, a social media consultant can help. They can build a social media strategy for your business and guide you through creating and running campaigns, among other things.

Free Advisor Options You Can Also Use

Not every advisor needs to be paid or given equity. Small Business Development Centers (SBDCs), part of the U.S. Small Business Administration network, offer free counseling on business plans, formation, operations, and financial planning. SCORE, a nonprofit network of volunteer mentors, offers the same kind of guidance at no cost.

The scale of these programs is worth knowing: as of 2025, SCORE’s roughly 10,000 volunteers provide about 4 million hours of free mentoring each year, and SCORE-mentored entrepreneurs started nearly 60,000 new businesses the year before that count was taken. If you’re building an advisory team on a tight budget, these programs are worth checking before you commit to paid or equity-based advisors.

How to Choose Team Members

Once you identify the advisory expertise your business needs, your next task will be to find advisors that are the best fit for your business. Take your time to build a team that fits your business. You don’t have to settle for the first expert you meet.

Before you recruit an advisor to your team, you may want to ask yourself the following questions:

What expertise are they bringing to the team? Go for an advisor who’s an expert in one of the fields relevant to your business.
Are they approachable, and do you enjoy talking to them? Find an advisor who you are comfortable talking to and asking questions. Select an advisor who shows a willingness to help you grow your business.
Do they have any experience in your industry or business? Individuals who have some experience managing or advising a company like yours are a must. As you interview the advisors, you can ask them for references or check their online credentials.
Are they trustworthy? Make sure your advisors are responsible and ethical. Go for someone genuinely interested in seeing you or your business succeed.
Are you and the advisor like-minded? You’ll probably work best with people who share similar values and outlooks in life. A great way to evaluate an advisor’s like-mindedness is by assessing their risk threshold. Do they have the same appetite for risk as you, or are they risk-averse?

Here are a few other tips for choosing a business advisor:

Perform Your Due Diligence

Take your time to interview each potential advisor. It’s best to have a physical interview where you and the potential advisor can talk and get to know each other. Afterward, conduct a background check both online and offline from their references.

Think of Compensation

How much you offer an advisor comes down to a few factors: how much time they put in, how many advisors you need, and what your business can afford. Your own budget and the advisor’s expectations will shape the final number.

If you offer equity instead of cash, that advisor should be someone you expect to stick around — five to ten years is typical. Equity grants for advisors commonly fall between 0.1% and 1%, vested over one to two years, with advisors who take on a hands-on role commanding the higher end of that range.

Remember, your business advisors are not employees. They are here to help you strategize and grow your business, not to perform day-to-day activities. You don’t have to pay them a steady paycheck.

Set Terms of Communication

How often do you want to talk or meet with the advisor? Do you want to call them anytime you encounter a challenge, or are you okay having a meeting once a month? As you recruit your advisors, tell them how you’ll reach out to them and how often. You may also want to set term limits. For example, inform the advisor that you’d like their guidance and support for the next 12 months.

Conclusion

Business advisors can help you overcome challenges and situations that come your way as you manage your business. Building the right advisory team may take some time. But if you choose well, you will have advisors who can guide you in every aspect of your business.

When selecting your team, go for advisors who are not only experienced but also trustworthy and approachable. Remember to interview the advisor and assess their willingness to help you grow your business.

Key Points and Facts About Building a Business Advisory Team

An advisor gives counsel but typically has no legal authority to make final decisions for your business.
A strong advisory team usually covers legal, financial, marketing, and technical expertise, since most owners can’t be strong in every field.
Peer advisory boards are linked to better decision-making — in one 2024 member survey, 91% of business owners said they made better decisions because of their peer advisory board.
Advisors can be compensated with cash, equity, or nothing at all — many will work informally without a steady paycheck.
Free advisor options exist through SBDCs and SCORE, both of which offer no-cost counseling and mentoring for small business owners.

Action Steps for Building a Business Advisory Team

Identify Your Gaps

List the skill areas your business needs — legal, financial, marketing, technical, and others.
Compare that list against your own strengths to see where you need outside expertise.

Build Your Candidate List

Ask your network for referrals in each area you’ve identified.
Check free resources like SCORE and your local SBDC for available mentors.

Interview and Vet Each Advisor

Meet candidates in person where possible, and ask about their experience in your industry.
Check references and confirm their credentials.

Set Compensation and Terms

Decide whether you’ll offer cash, equity, or no compensation at all, based on your budget and each advisor’s expectations.
Agree on how often you’ll meet and how long the advisor relationship will run.

Checklist for Building a Business Advisory Team

Map your skill gaps
- List the areas where your business needs outside expertise.
Find candidates
- Ask your network, and check SCORE or your local SBDC for free options.
Vet each advisor
- Interview them, check references, and confirm relevant experience.
Set compensation
- Agree on cash, equity, or no pay, and put it in writing.
Set communication terms
- Decide how often you’ll meet and for how long the arrangement will run.

FAQ: Building a Business Advisory Team

Do business advisors need to be paid?

No. Many advisors work for equity, a small cash arrangement, or no pay at all. Free options like SCORE and SBDCs also offer no-cost mentoring.

How many advisors should a small business have?

There’s no fixed number. Aim for one advisor per skill area your business genuinely needs, rather than a set count.

What’s the difference between a business advisor and a board of directors?

An advisor gives informal counsel and typically has no legal authority over the business. A board of directors has formal, legal decision-making power.

Can advisors be family or friends?

Yes, especially when you’re just starting out. Many businesses expand their advisory team beyond family and friends as the business grows and needs more specialized expertise.

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