Actor Jack Black introduced us to the “School of Rock” in the 2003 film based in New York, but do you know about the “School of Startup Investing” based in Las Vegas in 2022 ?
Early stage investors (aka “angels”) have a huge impact in their communities when they invest in local startups. When startup investments are successful, angels make great returns for themselves, for the startup founder(s), and for the company employees. The “average” angel investor is not the ultra wealthy stereotype. According to the Angel Capital Association (ACA) – the “typical” angel has a modest net worth in low 7 figures ($2-$3.5M) – and invests 2-10% of their net worth in 5-10 startups at a time. Some angels invest as an individual, but most invest in groups or through small funds – diversifying to minimize risk. You may not realize it, but you can be an angel… and have an impact!
In 2017, the ACA pegged angel investing at 78% male, over 50 – and largely white, but the demographics are changing rapidly. Our 2021 AngelNV investor cohort was 54% women and minority investors, providing a broad and inclusive investment perspective for screening deals and selecting startups to invest in. We intend to continue and expand that tradition into our 2022 investor cohort and beyond.
To make successful investments – angels and small fund managers develop a thesis for what types of companies and founders they’ll invest in; find startups and founders that fit their thesis; screen through startup companies; decide a fair company value; understand the possible deal structures; know when to lead and conduct due diligence – or when to follow a trusted deal lead; and much more. It’s not as simple as a one-click purchase of a public stock (and it’s more risky), but it isn’t difficult to learn. You can do this!
AngelNV teaches startup investing to “lightly experienced” investors in an inclusive group setting through 13 weekly x 75-minute early evening (pre-dinner) sessions. Each investor cohort has 40 participants who invest $5k each in a $200k conference fund. The investor cohort screens through applicant startups; listens to pitches; and works through all the “success” steps noted above – ultimately deciding as a group what company earns their $200k investment. The cohort is led by successfully exited startup founders and experienced startup investors.
You can learn this discipline; have an impact; make new friends; invest as a family – and, as an AngelNV participant, you will make at least one group investment. The 2022 program runs Feb-1 through Apr-30 and is currently open to new investors. Learn more at AngelNV.com or <click here to create an investment account> and join the next investment cohort.
To ask questions or talk with someone about it <click here to schedule a 1:1> phone or zoom meeting… or reach out to me via LinkedIn messaging.
Get engaged in 2022 and grow a vibrant, inclusive startup community where you live, like we are in Nevada – and make a good return doing it.
More about AngelNV
AngelNV teaches accredited investors familiar with the stock market, real estate, and other types of investing who want to get involved in private, early-stage startup investing – without needing “special connections” or having a requirement to invest $250k+ to join a venture fund. AngelNV Investors invest in $5k “units” (1 unit minimum). AngelNV requires a one- time $1k donation (fee) for active investors ($500 for passive investors). AngelNV has a very low 5% “carry” (aka: carried interest or profit sharing) donated to the non-profit fund organizer, StartUpNV, versus the industry standard 20%.
AngelNV is a program of StartUpNV, Nevada’s non-profit startup accelerator. The investments made through AngelNV are in the companies chosen by the investor group – and are wholly owned by the investors. 100% of administrative fees paid to support AngelNV, the administration of the program, and related investment fund are donated to the non-profit, StartUpNV (startupnv.org). No individuals earn fees or commissions as part of the AngelNV program.