Fractional executive vs advisor
An advisor gives you pattern-matching and a rolodex for 2 to 5 hours per month, usually in exchange for equity (0.10 to 0.50 percent). A fractional executive owns outcomes for 20 to 60 hours per month in exchange for cash. Advisors don't do the work; fractional executives do.
| Criterion | Advisor | Fractional Executive |
|---|---|---|
| Hours per month | 2–5 | 20–60 |
| Owns outcomes | No | Yes |
| Comp | 0.10–0.50% equity | $6K–$22K / mo cash |
| Board attendance | Sometimes | Yes |
| Term | 1–2 yrs, then advisor emeritus | 6–18 mo |
| Best for | Intros, pattern-matching | Getting the work done |
When an advisor is enough
You already have a functional leader, you just need a senior voice for edge cases — pricing, hiring, fundraising strategy, a specific market. Advisors compress 20 years of pattern-matching into a monthly call.
When you need a fractional executive
There is no functional leader. Someone has to build the model, run the interviews, own the number. Advisors cannot do this — they don't have the hours and don't own the outcome.
Common mistakes
Assembling five advisors as a substitute for a fractional CFO or CMO — advice does not equal execution. Or paying a fractional executive 5 hours per month and expecting outcomes — you paid for advisor rates, you got advisor output.
Hire a vetted fractional executive.
Post a private mandate on RecruitFractional and receive a vetted shortlist of C-suite and VP-level operators within 72 hours.
FAQs
Can a fractional executive convert to advisor after the engagement?
Yes and often should — you keep pattern-matching for the next 12 to 24 months at 0.10 to 0.25 percent equity.
Do advisors get cash?
Occasionally $500 to $1,500 per hour for specific projects. Standard is equity only.