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An advisory board is a group of people that give advice to the management of a company or organisation. They have no formal role in the finances or running of the company or organisation.

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What is the difference between a governing board and an advisory board? By law, every nonprofit must have a governing board. As the name indicates, the role of the board is to govern the organization and serve as its accountable body. The board helps create the vision, mission, values, and policies for the organization and makes sure that they are properly respected. Also, financial oversight is one of the key responsibilities of a nonprofit board. An advisory council (or committee) usually functions like any committee of the board. It may be created for a specific purpose to assist the board in its work. For instance, advisory councils may focus on fundraising, provide technical assistance, assess the impact of a service or program, and serve as an advocate or a public relations representative for the organization. Advisory council members have no legal responsibilities; they have no vested right to serve; and they have no immunity from removal. It is wise to limit the council's actions to making recommendations and providing background for board decisions. References Nancy R. Axelrod, Advisory Councils (BoardSource 2004).