Why it is so important to have an existing investor attend as our guest:
“I believe that it is absolutely imperative that an existing investor represents the interests of your company, and articulates why he or she chose to invest in it, at the investor-only debriefing sessions and at the display tables afterwards. The investment ($250+K)that we received subsequent to the Angel Forum was largely due to the interest sparked by our existing investor’s supportive comments at the debriefing session.” Zahir Abji, CEO GuardRFID
Applications: Direct applications are invited from companies that meet most but not all of the our criteria. Open to the first 20 to 30 companies to fully meet the selection criteria above, pay the registration fee and fully complete the one page Company Profile here. All applicants will be notified at the latest one week before the Forum date, but not all applicants will selected to present. If you presented at the last Angel Forum, we prefer you skip this Angel Forum unless you have reached a major milestone or your business has changed substantially.
Expected Returns: Investors are looking for companies with potential such that their $100,000 investment can be turned into a cash ROI of 30% per year dependent if the exit occurs in 2 years or 8 years. A rule of thumb is that within five years, a $100,000 investment will yield 10x or $1 million. Roughly 40% of all investee companies fail, another 50% limp along leaving 10% remaining to hit a home run to generate an overall portfolio profit.
Current Market: With an unsettled world / local economy, the trends are:
- Investors are funding less start-ups, as some are out of funds, others focus on existing investees and getting exits.
- Investors are investing less per company and co-investing more to diversify their private equity portfolios.
- Investors usually want a major but minority position (not a token 5%) in a company (at the pre-revenue stage).
- BC investors like BC's 30% refundable tax credit available from BC companies.
Development Stage: Preferences are companies at the "starting sales" stage or "established sales" stage with good demand for "in-development" stage, but usually not at the concept stage.
Industry Sector: Usually half of the investors have no preferences and are open to any non-tech or tech sector such as Internet, Medical devices, mid-tech Manufacturing, Services, Biotech, Communications, IT Hardware & Media.
No Go: Usually there is no interest in partnerships, proprietorships, franchisee, single retail stores, mining or real estate. Newer entrepreneurs are encouraged to self rate themselves by reviewing this Investor Readiness list or review this blog: 10-things-that-make-a-business-plan-not-fundable
Not Ready? Look at our Investor Ready seminars for entrepreneurs (running since 1998) and investors.
More Details: please review the For Companies web pages before submitting your Company Profile.