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What Angel Investing & Florida Condos Have in Common

Both Sides of the Table

The dinner parties now are filled with self-righteous angel investors bragging about how many deals they are in on. They have marked-up paper gains propped up by an over excited venture capital market that has validated their investments. Logic tells me the following: It is hard to make money angel investing.

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Angel Investing: Skill 3 – Relationships with VCs

Both Sides of the Table

In these scenarios angels made great returns precisely because they didn’t need to dip their hands into their pockets a second or third time, their companies didn’t go bankrupt and they didn’t get buried in the cap tables by large VCs who put in “pay to play” provisions in tough times. First Round Capital requires Second Round Capital.

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Angel Investing 4 – Why You Need Deep Pockets to Win Big

Both Sides of the Table

I can tell you many angels I know – and really sharp ones with more than enough capital to put to work – are telling me, “I’m currently going to sit on the sidelines for a while. This is the same with angel investing. Either of these are obviously fine in angel deals. I doubt it.

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A Guide To Angel Investing Documents: Preferred Stock Deals

The Seraf Compass

Unlike a convertible debt issuance, these stock transactions permanently alter the capitalization of the company by adding new stockholders, who are typically purchasing a brand new class of stock created for them, typically a series designated class of preferred stock with special rights and privileges they have negotiated.

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Angel Investing by the Numbers: Valuation, Capitalization and Startup Economics

The Seraf Compass

In the world of startup company investing, the best-known investors are those who invest in the tiny percentage of companies that make it big. Should a typical angel investor apply the “swing for the fences” approach to their personal investing? Think Facebook, Google or Amazon.

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Seismic Forces Driving The Growth of Angel Investing

The Seraf Compass

It feels like there is more written about angel investing lately than ever before. This form of early-stage investing seems to be having its 15 minutes of fame. As someone who worked with venture capital in the run-up to the first dot.com boom and is presently an active angel and co-head of one of the largest and busiest U.S.

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A Guide to Angel Investing Documents: Convertible Debt Deals

The Seraf Compass

Unlike a stock transaction, these convertible debt deals do not alter the capitalization of the company by adding new stockholders until the debt is converted into equity. This article is intended to provide a quick overview and explanation of the principal documents in a fundraising where the investors are purchasing convertible debt.