Solo Angel Investing is Time Consuming

Individual angel investors have little support for due diligence, deal structuring, diversification through co-investing and then post investment collaboration all the way to a exit. These are the challenges:

• Sourcing of good quality deals takes time
• Meeting entrepreneurs takes travel and meeting time
• Reading investor packages is time consuming  
• Due diligence is usually 40+ hours per deal
• Need opinions from friends and industry experts 
• Term sheet negotiations
• Legal hurdles and cost
• Post-investment management

Improving Angel Returns

A number of studies in recent years point to ways to improve return on investment.

Tracking Angel Returns, Wiltbank and Brooks, November 2016:

• Angel groups average 2.5x return (22% IRR) and 4.5 years before exit
• 30 percent of exits returned more than the orginal investments
• 10% of all exists generated 85% of the returns
• Bigger wins take 9-10 years to exit

Returns to Angel Investors in Groups, Wiltbank and Boeker, November 2007:

• Time spent on due diligence translates in better investment outcomes
• Investors who spent more than 40 hours saw a 7.1 multiple
• Investors who spent 20 hours a 5.9x and less than 20 hours a 1.1x
• High industry expertise in the area of the invested venture delivered twice the returns
• A higher interaction with portfolio companies delivers a higher exit for 3.7x
• A lower interaction of a couple of times per year delivered 1.3X

Join the Angel Forum to Collaborate

• Pre-screening improves quality of deal flow
• Dividing up due diligence work eases the pain of 40+ hours required
• Variety of industry sector experience available
• Pick and choose the deals you like
• Negotiate term sheets with the strength of a group of investors
• Get to know and work with the entrepreneur
• Have fun with like minded investors
• Potential for deal syndication with other groups and our partner funds e-Fund and WUTIF

Angel Forum Members are

• Active private equity investors
• Able to contribute time, wisdom and experience to companies
• Accredited investors
• People who enjoy building relationships with other members

Angel Forum Annual Membership Comes With Benefits

• No Forum attendance fees
• Access to confidential angel website (for deal-flow, due diligence)
• Discounts to educational courses and workshops
• Automatic associate membership of NACO and ACA
• And - importantly - the ability to network and syndicate their angel deals

JOIN THE ANGEL FORUM