No cure, no pay

The incentive structure shapes every decision made in an engagement

Which risks get surfaced. When the process continues. Whether no-go is on the table

What does no cure, no pay entail

In the Shaeps no cure, no pay engagement we receive commercial compensation only when the agreed commercial outcome - typically a business ready to launch in the form of a signed distribution arrangement, a revenue-generating partnership, an operational team, and / or a validated entry position that meets defined criteria - is achieved.

Aligned with the client's objectives

No retainer. No project fee for activity performed. Our compensation is aligned with the client’s commercial objective, not with the continuation of the process. Most China advisory models are paid for activity. Shaeps is paid for commercial outcomes. That is not a pricing distinction. It is a decision-making distinction.

The engagement level determines how much Shaeps does. The commercial outcome determines when Shaeps is paid.

Why time-based advisory is a problem

Activity-based billing creates predictable behaviour

Time-billing creates issues

A time-billed advisor is compensated for meetings, reports, analysis, and continued engagement. If a project is terminated early - because the entry thesis is wrong, because the market conditions are not yet met, because the client’s product lacks the regulatory positioning required - the advisor is compensated less than if the project had continued.

Ambiguity gets preserved rather than resolved

The consequences are predictable. Projects at an uncertain stage are kept in motion rather than forced to a definitive assessment. No-go conclusions are softened or deferred. A clean exit recommendation terminates the engagement. Scope expands organically: additional research phases, new workstreams, extended timelines that increase billable time without necessarily increasing the probability of commercial success.

How no cure, no pay changes the engagement

The no-go conclusion becomes a legitimate output. Under a time-billed structure, recommending that a client does not proceed terminates the engagement. Under no-cure-no-pay, recommending no-go is still a loss - outcome compensation is not received - but the incentive structure no longer penalises the honest assessment.

Accurate judgement becomes commercially rational. Process continuation does not

Early-stage realism becomes operationally valuable. If a client’s product does not have the regulatory position, the pricing architecture, or the market-specific positioning required to achieve the commercial objective, identifying that early reduces the cost to both parties. Under time-billed models, early identification of a weak commercial premise is not rewarded.

Avoids wasted effort on both sides

Selectivity at client intake becomes structurally rational. If outcome compensation is the only compensation, engaging with clients whose commercial premises are speculative or whose management commitment is insufficient is not a viable strategy. The model creates a natural filter: Shaeps selects engagements where the underlying commercial thesis is credible and the client is operationally positioned to act on what the engagement surfaces.

We engage where the case seems credible

What the model is not

01

Not free consulting

Shaeps invests substantial commercial intelligence, relationship infrastructure, and operational capacity into each engagement. The compensation structure defers that return to outcome. It does not eliminate it.

02

Not unlimited speculative work

It is not success-at-any-cost. The outcome must meet the commercial criteria defined at engagement start. A distribution arrangement with terms that do not support a viable commercial model is not a qualifying outcome. An arrangement that generates activity without commercial sustainability is not a qualifying outcome.

03

Not success-at-any-cost

The outcome must meet the commercial criteria defined at engagement start. A distribution arrangement with terms that do not support a viable commercial model is not a qualifying outcome. An arrangement that generates activity without commercial sustainability is not a qualifying outcome.

04

Not suitable for every company

The model requires a commercial premise that can be assessed in-market, a client with the management commitment to act on the engagement findings, and a real intent to enter the market - not exploratory curiosity.

The incen­tive struc­ture shapes every deci­sion made in an enga­ge­ment

Why time-based advisory is a problem

How no cure, no pay changes the engagement

What the model is not

The incentive structure shapes every decision made in an engagement