SP3NW has established a Rural Angel Investment Network (RAIN) to train and encourage local investors. This addresses barriers to innovation and economic growth by developing unique capital models to meet the financial needs of local entrepreneurs. RAIN builds upon models developed by the WSU Extension office and the Association of Washington Cities (AWC) that have established several LINs. Local Investment Network models organize and educate rural communities to utilize existing community networks and resources to support local businesses. Presentation materials and content were developed by Laurie Donnell, program manager for SP3NW, and Michaele Armstrong, Associate Director for SP3NW.

1. WASHINGTON STATE UNIVERSITY’S
SPRINT GRANT – RAIN INITIATIVE
Program and Partnership Overview
SP3NW - FIRE GRANT Rural Angel Investment Network

2. Why ACA…
Angel Capital Association (ACA) has created
the Rising Tide Education Program, helping
new angels discover the basics of becoming an
angel investor.
SP3NW is partnering with ACA to increase
awareness of this investment tool and to
deliver angel investor education to our target
markets of Eastern Washington, Northern
Idaho and Western Montana.

3. Angel Capital Association -
Connections and Ideas That Drive Returns
• The Angel Capital Association is the leading professional
association supporting the success of angel investors in
high-growth, early-stage ventures.
• ACA provides professional development, data
analytics, industry voice, public policy advocacy and an array
of benefits and resources.
• ACA currently serves its membership of 14,000 individual
accredited investors, who invest individually or through more
than 250 angel groups and platforms.
• Ann & Bill Payne run an angel investment group in White
Fish Bay, Montana.
SP3NW - FIRE GRANT Rural Angel Investment Network

4. Criteria to become an
Accredited Angel Investor
Annual Income:
• $200,000 (individual)
• $300,000 (couple)
Net Worth:
• $1 Million (Excluding primary
Other: Professional capacity to waive
financial benchmarks
SP3NW - FIRE GRANT Rural Angel Investment Network

5. SP3NW - FIRE GRANT Rural Angel Investment Network
Startup Company Financing Life Cycle

6. Risk and Reward
Rural Angel Investing Data from ACA
STARTUP’S ARE A HIGH-RISK INVESTMENT
75% of Angel Investments in Startup Ventures FAIL
Mitigation
• Become an educated Angel Investor to better understand the opportunity
• Only contribute 10% of your total investment portfolio in ANGEL investing
• Join a Network or Fund to pool money
• Realize Diversity by having 10 companies in your fund
• Fund size should be at least $1 Million to absorb the administration costs
• Biotechnology and Health Technology are the TOP TWO growth sectors
REWARD
AVERAGE Internal Rate of Return is 27%
SP3NW - FIRE GRANT Rural Angel Investment Network

7. Fun Facts from ACA’s Current funding report
•Rural Angel Investing is ONLY 1.6% of total Angel funding in 2021
•RURAL Market: Seed Stage money makes up to 70% of the total investment funding
•URBAN Market: Seed Stage money makes up 50% of the total investment funding
•Angel Investing is a LONG-TERM investment (typically up to 10 years)
•Don’t Invest Funds you are not willing to LOSE
SP3NW - FIRE GRANT Rural Angel Investment Network

8. Professional Angel Education
(PAE) Certificates:
• Angel University workshops award Professional Angel
Education (PAE) learning credits for each 1-hour class.
• A certificate of achievement will be awarded to participants
who successfully complete all 6 workshops.
• We have 70 openings for our FALL 2022 program launch.
• Our 1st and last class will feature live-in person instruction
option, in addition to virtual instruction.
SP3NW - FIRE GRANT Rural Angel Investment Network

9. 6 Courses RAIN Curriculum
• Risk in Angel Investing Sept. 14, 2022
• Angel Investment Fundamentals Sept. 21, 2022
• Term Sheets Sept. 28, 2022
• Due Diligence Workshop Oct. 5, 2022
• Portfolio Strategies Oct. 12, 2022
• Valuations Oct. 19, 2022
SP3NW - FIRE GRANT Rural Angel Investment Network
Please sign up at https://tinyurl.com/angel-investing-class
Or scan the QR code on this page
ACA Member Package Pricing $925
We have EDA grant funds to pay for 70 qualified angel
investment students.

10. Thank you for your time today.
Please let me know if you are interested in more information regarding
RAIN: Laurie Donnell – laurie.donnell@wsu.edu
For details visit our website at - https://sp3nwFIRE.org/RAIN
SP3NW - FIRE GRANT Rural Angel Investment Network
Sign-up for the classes at:
https://tinyurl.com/angel-investing-class
Or scan this QR Code:
If you want more information before
signing up for the classes, join us for a
one-hour webinar August 3rd at 5:30
p.m.
Register for the event here:
https://tinyurl.com/angel-investing-
webinar
Or scan this QR code: