Investments of time and money are critical for startups’ success

Innovation 2 Enterprise

In no area is the “why” discussion more important than when we are advising entrepreneurs on raising capital. High-growth startups have two basic sources of investment capitalangel investors (individuals, groups, or funds) and institutional investors like i2E. Angels invest their own money and are in the business of high risk/high return. I like to refer to Angels as “big game hunters.”. By Scott Meacham.

Is there an incubator for aspiring Angel Investors or VCs?

Gust

No, but there are several sets of courses on angel investing that can provide a good base from which to start. The most comprehensive and best known is the Power of Angel Investing seminar series developed by the Angel Resource Institute (formerly known as the Angel Capital Education Foundation, and prior to that part of the Angel Capital Association). A third is the in-house course developed for its members by the Golden Seeds angel network.

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Preparing to Start a Company

This is going to be BIG.

If you’re going that route—here are a couple of things I would suggest: Have at least six months of personal expenses in the bank —and that’s only if you know you can at least get some angel capital based around your connections to investors, friends, family, etc. It’s that time of year again—the season of people quitting their jobs soon to start a company.

What happens when you take 12 investors to Silicon Valley?

Startup Catalyst

In November 2017 we delivered our first Investor Mission, heading to San Francisco for an intensive week meeting with angels, VCs, corporate venture programs, accelerators, startups, pitch events, and dinners.

Resources for Angels Considering Deep Tech

propel(x)

There are several reasons angel investors may consider adding deep technology to their investment portfolio. The Angel Investment Network : Comprised of the latest news in the angels investing world along with tips and tricks, this site will be your go-to in no time.

What tools can I use to manage relationships with investors?

Gust

It’s the official collaboration tool of the Angel Capital Association (and the equivalent national angel investor federations in 20 other countries.) It’s also used by over 300 venture capital funds. Gust.com is the most widely used tool platform for both sides, with hundreds of thousands of companies and tens of thousands of investors using it to track and manage their relations with the other.

State-funded program managed by i2E boosts Oklahoma innovation

Innovation 2 Enterprise

My mantra of investing, as any regular reader of this column knows, is capital begets capital. That’s why Oklahoma’s unique, pre-seed capital fund, Technology Business Finance Program (TBFP), is so critical to Oklahoma’s innovation economy. TBFP deploys state funding to provide equity-free capital for startups at such an early stage that there are virtually no other sources of capital available. By Scott Meacham.

"Money is Local, Impact is Global" for Angel Investing

Onevest

By Michael "Luni" Libes In the traditional world of early stage, Angel and VC investing, money is local. Studies show that over 80% of funding at Angel groups and Series A VCs goes to businesses in the same city/region as the funders.

Startup Investing: The New Trend in Alternative Assets

Onevest

By definition Angel Investors are individual investors. This is something that we have experience at 1000 Angels , the private investor network that connects startups with investors. Wikipedia notes that “in 1996 there were about 10 angel groups in the United States.

A university’s role in an emerging startup community and other conversations

Startup Catalyst

You then need your risk capital and we’re seeing increasing amounts of risk capital available in Queensland. There are still some gaps in terms of capital but that can be worked on. Stuff at the Capital?

Think ahead when raising your early investments

Berkonomics

Some businesses just can’t fit within the angel capital or friends and family model for raising funds. Sooner or later you may need to seek venture capital and accommodate the needs of the venture community in negotiating the terms of an investment.

What is a good site or Gmail extension for an angel investor to manage their startup deals?

Gust

When I started my angel investing over a decade ago, there was no such thing as a site to handle the surprisingly-challenging process of keeping track of all the information regarding all the companies with which I was working. Gust News angel investor Gust startup deals

As a new independent angel investor, how will I find new companies to invest in?

Gust

For a new angel investor, by far the best thing to do is to join a local angel investor group that belongs to the Angel Capital Association. Benefits of joining a group include pooling deal flow, capital, domain expertise, and investing experience. The typical US angel group will receive a dozen or more funding applications from startups each month; the most active ones, such as New York Angels will receive over 100.

How to Kick Start Your Community’s Startup Scene

Both Sides of the Table

Changes in the Software World & in Venture Capital. But notably you had the following changes: Horizontally scalable computing & storage systems, which meant you required less capital up front for hardware. Angels & Recycled Capital. Venture Capital.

What is a good site or Gmail extension for an angel investor to manage their startup deals?

Gust

When I started my angel investing over a decade ago, there was no such thing as a site to handle the surprisingly-challenging process of keeping track of all the information regarding all the companies with which I was working. Gust News angel investor Gust startup deals

Should every startup get funded?

This is going to be BIG.

Getting key strategy advice early on, or getting introduced to a new market can make or break a company in ways that no amount of angel capital can help. That’s what makes venture capital such a risky investment. Help doesn’t necessarily mean an angel round sized check. Tags: Venture Capital & Technology First off, let me be clear that the opinions expressed here are solely my own and not that of my employer, or anyone else.

After 20 years: Updating the Berkus Method of valuation

Berkonomics

Yet, the current HALO Report from the Angel Capital Association containing average pre-money valuations for angel investors demonstrates that the US average, at least for the moment, is higher than this amount. Well, it had to happen.

5 Clues To Investor-Friendly Financial Estimates

Gust

Here are some basic rules of thumb that every Angel or venture capital equity investor uses, to help you anticipate their reactions. Venture capital requests that get satisfied are even lower. Image via pixabay.com.

Startup Capital: Feast or Famine?

Gust

For years there has been a pervasive opinion across the entrepreneurial landscape that the US has a shortage of capital required to startup and grow new ventures. But, what evidence do we have of this shortage of capital? We have no measure of the changes in available capital resources from entrepreneurs and their friends and family, but we have no reason to believe they have changed radically over the past few years.

Early stage money: The problem with PPMs

Berkonomics

Bill Payne has been actively involved in angel investing since 1980, funding over 50 companies and mentoring over 100 more. He is the recipient of the coveted “Hans Severiens Award form the Angel Capital Association, its highest honor. . By Bill Payne.

The end or the beginning? Thoughts on the current startup environment

This is going to be BIG.

Just as an additional disclosure, these are my thoughts, not that of First Round Capital, my employer. There is an enormous amount of angel capital available, while at the same time there is a small amount of Series A and a large and concentrated amount of late stage capital. At least nine out of ten high-quality angel-funded startups face an unnecessary death, because there is no Series A money to help them survive critical expansion.

Think ahead, if you will need more money later.

Berkonomics

Some businesses just can’t fit within the angel capital or friends and family model for raising funds. Sooner or later these businesses will have to seek venture capital and accommodate the needs of the venture community in negotiating the terms of an investment. Most VC’s today are becoming enlightened (as are organized angels), correctly forcing many decisions that might have been dictated by investment documents instead to the corporate board to decide.

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What are the biggest global events for Venture Capitalists and Business Angels where they can learn about their own business?

Gust

There are surprisingly few such conferences, for the very good reason that there are actually relatively few such people (venture capitalists and ‘professional’ angel investors) to attend them! But that said, here are the biggest (i.e., “only” events of their type): Business Angels. Angel Capital Association (US) Annual Summit. NACO National Angel Summit. Both Angels and VCs.

Equity financing: great for rapid growth startups

Berkonomics

We’ve spoken of financing a young company through friends and family, known as “inside angels.” First, angel investment groups come in all sizes from a few organized angels to large groups of three hundred or more.

Five common misconceptions about building a startup in New York City

This is going to be BIG.

The simple fact of the matter is that most startups seeking angel or vc capital just don’t receive it—and that’s just anywhere. My company was not well executed enough to achieve venture capital financing—and that wasn’t the city’s fault, it was mine.

People who don't run your company

This is going to be BIG.

applications are due this Monday the 31st ) The company said no because their main angel investor didn't think it was a good idea to let an audience see their pitch. They knew it wasn't a controlling share, but it was the bulk of their angel capital and they couldn't have worked on their company without it. First Round Capital Venture Capital & Technology

2012 Valuation Survey of Angel Groups

Gust

This summer I conducted our third annual survey of the pre-money valuation of pre-revenue companies recently funded by angel groups in North America. Access to our 2010 and 2011 surveys can be found at 2011 Valuation Survey of North American Angel Investor Groups. We received data from thirty groups of the fifty angel groups from whom we requested data. Alliance of Angels (Seattle). BELLE Capital (Michigan). Boise Angel Alliance. Vancouver Angels.

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Look for your strategic buyer first.

Berkonomics

Dave’s note: John Huston is founder and past manager of the 300+ member Ohio TechAngel Funds and a past Chairman of both the Angel Capital Association and the Angel Resource Institute. .

Sell when growth is high, even if cash flow is low.

Berkonomics

Dave’s note: Our guest author this week is John Huston, founder of the 300+ member Ohio TechAngel Funds and a past Chairman of both the Angel Capital Association and the Angel Resource Institute. .