2. Introduction
โข Trade Body launched in July 2012 , representing the angel and
early stage investment community in the UK- reflecting the range
and diversity of Angel investing
โข Represent the angel communityโs interests to Government-
ensure policy environment supports growth of angel investing
โข Raise awareness and Promote the Asset Class - Key strategy to
Bring more women into angel investing!
โข Improve data on angel investing - deals; exits; returns - new
Research Project underway for 2013 with Deloitte
โข Promote standards and good practice โ access to body of
experience and knowledge on angel investing ( web-site ;training)
โข Creating a connected path of finance from start-up to growth
3. My Background
โข Ran my own Business for 15 years helping SMEs Access Finance-
Brussels and London.
โข Encountered Angel Investing in 2000 and worked with London
Business Angels
โข Started working with trade body ( when British Business Angels
Association)I n 2004, managed by GLE
โข Spun out a new company from GLE in 2009 - co founded Angel
Capital Group incorporating London Business Angels
โข Took on role of CEO of UK Business Angels Association, new
independent company in July 2012 ( no longer Director of LBA)
โข Started Investing in 2006, mainly technology, incl. health care
โข Some failures! now have 6 live investmentsโฆโฆโฆ..
4. UK Angel Market
โข Angel Investing =Most significant source of finance for
growth potential early stage businesses
โข Approx. ยฃ850m to ยฃ1bn invested each year by
Business Angels
โข Only ยฃ300m in VC each to small businesses at early
stage ( only ยฃ40m to start-ups (BVCA 2011)
โข Angel Investing = 3x VC funding for early stage
โข BUT, only 5% of โknownโ angel investors are women!
โข HOW DO WE BEAT THIS 1:20 RATIO?
5. Angel Finance Trends
โข Average Angel Deal : ยฃ10k to ยฃ500k first round- but recent
deals of ยฃ1.5m +
โข Most deals are now syndicated โ lead angel with a group of
angels pooling skills and finance
โข Angels prepared to do follow-on funding
โข Angels invest along side VCs and Banks - and Crowdfunders
โข Angels are prepared to wait- Patient Capital
โข 5 to 8 years to Exit- and longer
โข Nesta โ BBAA research showed potential for IRR of 22% , but
58% of Angel deals fail! (Siding with the Angels May 2009)
6. How to Attract More Women Investors?
โข Awareness and education on how to do find good deals and structure
deals -understanding the investment process
โข โGolden Seedsโ- The US Movement increased women investing up to
16% through a concerted programme
โข Golden Seeds identified that Women need more structured
knowledge and learning than their male counterparts
โข Working in Groups and syndicates- sharing deals, sharing knowledge
and due diligence; pooling skills and finance
โข Opportunities to convene and share experience- peer to peer
learning
โข Inspirational women investors as leaders and ambassadors
โข Experienced women as Mentors
โข Encouraging Women to be Lead Angels
7. Promoting Awareness of Tax Breaks
Too Risky?
โขPromote awareness among women of the fantastic tax breaks
available to mitigate risks investing in early stage businesses :
โข EIS (30%) investing up to ยฃ1m and CGT relief
โขSEIS (50%) investing up to ยฃ100k- invest your capital gain from
2012-13=100% write off or 50% gain for 20013-14
โข Loss relief if all goes wrong (20-50%)!
โข New ยฃ100m Angel Co-fund, offering ยฃ100k to ยฃ1m alongside
angel syndicateswww.angelcofund.co.uk
8. Where do Women Invest?
โข Tendency to assume women invest in softer/fluffy stuff!
โข But many women with experience and back ground interested in
technology, including health care, clean tech, digital technologies
โข eg Sherry Coutu - one of the most prolific Technology investors in the UK โ
was a successful technology entrepreneur and invests in big data!:
โI became an angel shortly after floating a company I founded and having
children. As an angel investor and mom, I love working with great
entrepreneurs to solve problems that matter. I also love making the sort of
returns you will have read about in the โsiding with angelsโ report by the
BBAA. My angel portfolio has outperformed the stockmarket by a mile! โโ
Sherry Coutu, CBE.
9. Attracting more Women investors
โข Do Women need to invest in other women?- can provide insight
into challenge for women entrepreneurs
โข Is there a case for all women network and groups?
โข Golden Seeds movement uses women as leaders, but women
investing alongside male angels
โข Most important is to bring women together to share common
interests- share intelligence and knowledge
โข Potential for a number of women syndicates to develop with
common sectoral interests to share deals โ โWomen in
cleantechโ; โWomen in bio techโ etc.
โข Angel Academe = Opportunity to bring Technology deals to
women interested in Tech and Digital media
10. What the Trade Body is doing
โข UK Business Angels Association โ mobilising activities to
promote women investing in 2013-14
โข Identifying Women Investors to be Ambassadors
โข Promoting activities and initiatives being taken to support
women investors eg Angel Academe; Astia
โข Working with US โGolden Seedsโ to learn from their experience
โข Setting up new part of the UKBAA web-site for specific advice to
women investors (meanwhile see โBe an Angelโ site with
downloadable fact sheets, and tools.
โข www.ukbusinessangelsassociation.org.uk
โข Help the UKBAA Research on Angel deals in 2012-13: Investor
Survey: http://bit.ly/ukangelsurvey
11. Be nominated for a UKBAA Award:
Best Female Investment of the Year!
For female-led businesses that have received angel
backing and/or backing by women investors
National Awards Event,
London Film Museum 2nd
July
www.ukbusinessangelsassociation.org.uk/awards2013
and
3rd
July, National Investment Summit, at Deloitte