The short answer: at pre-seed, an advisor usually receives about 0.5% to 1%, vesting monthly over two years with a three-month cliff. Accelerators take a fixed stake alongside their check: 7% at Y Combinator and 5% at Techstars. Studios that found the company themselves hold far more, about 34% on average. A venture-building partner that works with an existing team sits in between, with a negotiated stake that should map to the work it does. Whatever the number, the stake should be earned, documented and modelled across your next two rounds.
Equity is the most expensive currency a founder has, and early decisions compound. A point given away carelessly at pre-seed is a point you cannot use later to hire a key engineer or to keep control. Here are the benchmarks and how to use them.
The benchmarks
| Who | Typical equity | How it is usually earned | Benchmark |
|---|---|---|---|
| Advisor | Pre-seed about 0.5% to 1%; seed about 0.25% to 0.75%; Series A about 0.1% to 0.5% | Options vesting monthly over 2 years with a 3-month cliff | Founder Institute FAST template |
| Accelerator | YC: 7% for $125K, plus $375K on an uncapped MFN SAFE. Techstars: 5% for $20K, plus $200K on an uncapped MFN SAFE | Granted at signing, together with the investment | Public program terms |
| Studio-founded company | About 34% on average, up to about 80% | The studio provides the idea, team, first capital and shared services | GSSN survey |
| Venture-building partner (existing team) | Negotiated, well below a studio-founded stake | Tied to defined, ongoing hands-on work | Agreed case by case |
| Service provider (design, legal, development) | Usually paid in cash; sometimes a small grant in place of part of the fee | Against delivered work | Compare against the cash price |
Advisors: small, vested and specific
The most widely used reference is the Founder Institute's FAST template. It sets the grant by the company's stage and by how involved the advisor is: an occasional advisor sits at the low end of the range, an advisor with a defined role in the middle, and an advisor who works almost like a part-time executive at the top.
Three rules keep advisor equity healthy:
- Define the job.Write down what the advisor will do: introductions to five design partners, a monthly pricing review, a hiring loop. Equity for a general "be available" is how cap tables fill with inactive names.
- Vest it.Two years monthly with a three-month cliff is the market default. If the advisor stops helping, the grant stops vesting.
- Keep the pool in view.Advisors usually come from the same option pool as your first hires. Every advisor grant is a grant you cannot give to an engineer.
Accelerators: fixed terms, compare the full package
Accelerator terms are public and non-negotiable, which makes them easy to evaluate. Look at the whole package: the fixed stake, the uncapped MFN SAFE that converts later, and the program itself. The MFN SAFE converts at the best terms you give later investors before your priced round, so it behaves like part of your next round. Model both together.
Studios and venture-building partners: match the stake to the work
When a studio founds the company itself, a large stake reflects the idea, the team and the capital it brings. When you already have the company and bring in a venture-building partner, the right question is what capacity you are getting and what it would cost to build it yourself: senior operating time every week, investor readiness, and a network you could not reach alone.
Ask any partner four things:
- What exactly will you do, and who will do it?
- How is the stake earned: at signing, vested over time, or by milestone?
- What happens if the partnership ends early, on either side?
- How is this separate from any investment you or your network might make later?
Red flags
- Equity for a promised round.No one credible can guarantee that a round will close. Pay for work, and be careful with success fees on capital raised.
- Vague scope.A large stake for "strategy and connections" with nothing written down.
- Unmodelled dilution.Grants that look small today and turn out large once stacked SAFEs convert.
Israeli specifics
In Israel, option grants to employees and officers are usually made under Section 102 of the Income Tax Ordinance, which offers favourable capital-gains treatment. Advisors and consultants who are not employees are typically granted options under Section 3(i), which is taxed differently. Agree the structure with your lawyer before you promise a number, and run every grant through a cap table model. Our SAFE and dilution calculator helps you see what you will own after the next round.
How we approach it at Velo
Velo's venture studio partners with existing pre-seed and seed teams. The partnership is equity-based, terms are agreed individually with each company, and our equity for venture building is separate from any capital that may later be invested. To compare models before you decide, read venture studio, accelerator or VC.