Sullivan: VCs should mandate advisory boards before writing checks
Breen Sullivan · 98% of Founders Miss the Lever That Gets Them First Checks · Feb 11, 2025 · at 23:25
Breen Sullivan, founder of The Fourth Effect, argues institutional investors should require startup advisory boards as standard due diligence criteria.
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“No VC is writing a check to a startup that doesn't have financial advisory in intact. Like you have to, as a founder, you have to have a financial model. You have to have thought through your Revenue streams and the business plan. There has to be some like kind of financial governance under the hood in order to take other people's money inside. And we think the exact same thing should apply when it comes to an advisory board.”
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