If so, do the options just turn into company ownership and then ongoing distribution checks?
Yes, there are a variety of ways to compensate advisors.
- Vested options or warrants are one option.
- Phantom stock
- You can create convertible debenture with event triggers for payback such as funding events, revenue targets, and more.
You have the flexibility to structure non cash compensation in a manner that works for the company and is still attractive to the adviser.
Happy to answer further questions >>