As I reported last week (Current Pre-money Valuations of Pre-revenue Companies), I met with a group of 40-50 angel leaders to discuss the valuation of seed/startup angel deals at the Angel Capital Association Summit in Boston, April 4-6, 2001. We reviewed a survey of angel groups all over the country completed last summer (included in […]
Posts Tagged 'angel'
With all this excitement about Super Angels investing in Silicon Valley startup ventures, are they beginning to dominate, dare I suggest, take over the world of angel investing? Or, even the world of seed/startup stage investing? Maybe in their own minds, they are. But Chris Yeh points out that Super Angels are doing about 200 […]
Have you noticed all the great press given to Super Angels by the Business Week and the Wall Street Journal? First Business Week introduced us to their top 25 angel investors, who have each funded between 5 and 190 deals, averaging about 40 angel investments per angel. It is a great list! Then, the Wall […]
Entrepreneurs need to know how to use the various forms of their business plans.
Brad Feld on Angel Investing My friend, Brad Feld, is a prolific angel and venture capital investor. More importantly, he is really smart and a genuinely right-minded proponent of entrepreneurs. Brad wrote an insightful article on June 2nd for Business Insider entitled After More Than 75 Angel Investments, Here’s What I’ve Learned. This is must […]
How Much Ownership do Angels Require? A frequent question from entrepreneurs is “how much ownership do angels expect to purchase with their investment in my start-up venture?” First, a reminder: Angels are investors, not bankers. So, in most cases angels purchase equity in new ventures, and are not lending funds to entrepreneurs, in anticipation that […]
The Value of Intellectual Property to a Startup Venture Derek Sivers points out a critical issue to startup companies: Intellectual Property has LITTLE OR NO VALUE without execution by the entrepreneur and management team. Here is his blog: IDEAS ARE JUST A MULTIPLIER OF EXECUTION By Derek Sivers (http://sivers.org/multiply) It’s so funny when I […]
Seasoned Angel often Favor Preferred Shares Professional investors, angels and venture capitalists alike, often stipulate that companies in which they invest establish a second class of stock (preferred, in addition to ordinary or common shares) and that the investors then purchase preferred securities. What are the advantages to investors of preferred shares? The shareholder agreements […]
What are Preferred Shares? Angel investors are important capital sources for entrepreneurs, providing cash as debt, some of which may be converted later into equity, or more commonly to purchase equity interests in the company. Seasoned angel investors favor funding seed and startup companies by purchasing preferred shares, rather than simply owning common (ordinary) shares […]
Angel Group Deal Flow Statistics To provide members with a broad selection of opportunities to invest in quality start-up ventures, angel groups encourage and are prepared to manage rather high deal flow. Here are typical deal flow statistics for angel groups: Most groups encourage entrepreneurs to submit an executive summary or application via the group’s […]