Many startup founders I know avoid establishing a formal advisory board or board of directors for as long as possible, with the excuse that this is just another burden, or it has more risk than value to the founder.
In my experience, just the opposite is true, since outside experts with the right experience can greatly reduce risk and improve the quality of your decisions in times of crisis.
Of course, if a board is set up just to appease investors, or just for window dressing, the value may indeed be minimal or even negative.
You may be committed to running the leanest possible team, or convinced that you know the business better than anyone else, but all of us can use some help from time to time, especially in today’s world where things are changing quickly.
In the spirit of helping you avoid some of my own experiences with startup boards, I would like to offer some of my own rules of thumb for establishing at least an advisory board well before you sign up investors or ship your first product:
