Why be part of Angel Capital Group as an entrepreneur?

We have amassed hundreds of great minds, subject matter experts, successful entrepreneurs, and venture-style investors from around the nation who share diligence, expertise, experience, connections, and industry insight on ventures to identify irresistible opportunities. We are here to fund your venture. We are here to help you grow your business.

ACG merged with a sister network in 2014.  Between the two networks, we have invested in over 145 companies for a total of $46M.  We typically invest in 10 companies per year between $50,000 and $250,000, but have invested as much as $2.0M in a single venture.

We provide you a highly efficient mechanism for raising capital.  We will work with you to build a broad syndicate of investors to capture the resources necessary to execute your business plan.  We want you leading your company and selling products and services, not shares.

“OnCore Golf has been working with Angel Capital Group for the past two years. Their approach to creative financial structures, the efficiency of their process, and the true partnership nature of their involvement has been extremely valuable to our company. We would highly recommend ACG to other companies looking for early-stage financing. I have dealt with other angel capital groups and none come even close to ACG.” — Kieth Blakely, Chairman OnCore Golf

Pitch & Road Show

Engaging our local entrepreneurial community is part of our mandate, and we enjoy it! -Eric Dobson, CEO

Become A Portfolio Company

There are three ways to become an Angel Capital Group portfolio company: the Road Show, FirstPitch, and Syndication. The FirstPitch is an opportunity for each of our Chapters to host companies local the chapter each month. We do require these companies to go through our screening process, but we do not perform deep diligence. Instead, we ask the local Chapter Members to get involved and to support the company. Once they are satisfied the company is worthy of joining our distinguished portfolio, we will open a deal for funding by the entire network. If you live in one of our Chapter cities, Denver, Kansas City, Nashville, Knoxville, Charleston, Ashland, or South Florida, please reach out to the Chapter President in your area. We want to engage our local entrepreneurs and help to grow the creative capacity of our chapter cities.

First Pitch Guidelines

  • Fill out an initial application online at angelcapitalgroup.venture360.co this will provide our Angels with your contact info and some basic information about your company.
  • You will be invited to present to one of our chapters, either the closest or most appropriate.
  • 15 minute pitch to introduce your venture to our members.
  • 15 minutes for questions for our members to get a feel for your team and venture.
  • The local Chapter President will coordinate all activities regarding the FirstPitch.
  • You are encouraged to bring guests so long as they are ACCREDITED INVESTORS.
  • You are welcome to stay for the main presenting company but will be asked to leave when they are finished.

You are under no contract or obligation to raise funding through ACG. To learn more about finding a local chapter, or about founding a chapter location, check out our Locations page.

Video Road Show

The Video Road Show (VRS) company is selected through a very competitive process each month an have a deal champion inside the ACG syndicate. This company is put through deep diligence and a term sheet is signed defining the terms under which Angel Capital Group will invest. This company takes a road trip to sunny South Florida to make one video presentation that is broadcast to all chapters of ACG on the third Tuesday of the month. The video is archived for future reference by the ACG members. You will have access to the video for your own purposes. Once the Road Show is finished, we make a deal call to our syndicate members to make commitments to the deal. We then aggregate and wire funds directly to the company. This process from start to finish takes 8 – 12 weeks. We move at the pace of the “crowd,” but with the luxury of deep diligence and industry standard, investor friendly terms that will prepare the company to readily raise additional capital in the future if required.

Resources for Entrepreneurs

Angel Capital Group has built strategic partnerships with three entities that can help you along your path to success.  Please visit their sites and explore how they can be part of your “next big thing:”

IdeaSharesLogo
IdeaShares
– The virtual incubator helping entrepreneurs and inventors successfully  compress time, costs & risk associated with the early stages of ideation.  If you are an inventor and want to understand the value or your idea, IdeaShares can help you along your path to success.

ascend logo

Ascend – The virtual incubator for startups that provides “trail guides,” mentors peer-to-peer relationships, to help you climb the learning curve of entrepreneurship.  Everyone’s path is different, but someone has walked that trail before.  Learn the hard lessons the easy way!

BOBA-logo
Business Owners Benefits Association
– BOBA is a national membership-based association that unites small businesses giving them buying power and leverage for professional and other services. BOBA has established its own network of service providers to address critical small business issues and reduce operating costs. BOBA provides critical services, including review of insurance coverage for liabilities and omissions, to manage risk for both founders and investors in early stage private equity companies.

Application Process

  • Application

  • Analysis

  • Entrepreneur Services Agreement

  • Due Diligence

  • Term Sheets

Application

All applicants must submit a proposal through our online platform. No exceptions.

We have spent years designing the most streamlined application process possible.  We paid particular attention to asking questions that would engage entrepreneurs in thinking like investors about their businesses.  We hope you enjoy and learn something from this process.

Analysis

Proposals that pass general requirements complete our online questionnaire that provides a base score for our analysts to use in allocating due diligence time.

Entrepreneur Services Agreement

This agreement outlines the terms of our relationship moving forward and signals we are ready to take you into due diligence.  Some things to note are that we require you to leave at least $100,000 open for up to 90 days for our group to participate in.  We do this because we are investing a lot of time and effort into preparing you for funding from our group, and we don’t want all of that to go to waste should you decide to close the investment without us for some reason.

Due Diligence

You will upload all requested documents into the Venture360 system for our review.  Timely completion of due diligence is critical to us staying on schedule and getting you in front of our angels in a timely manner.  Typically, due diligence takes about 3 weeks.

Term Sheets

We structure all investments prior to presenting them to our group and part of the services we provide our members.  That way you don’t have Angels trying to structure competing deals, and there are no surprises.

Pitch & Funding Process

  • Pitch Preparation

  • Pitch

  • Funding

  • Post-Funding

  • Syndication

Pitch Preparation

You only get one shot in front of our investors, so don’t underestimate the importance of a great pitch. We require a professional, informational presentation from all entrepreneurs seeking an audience with our members as a way of protecting everyone’s time. That’s not to say it has to be professionally designed (though that sometimes helps); just that we expect a presentation that meaningfully communicates the details of your proposal.

Funding

You will be able to track how much you are raising from our group through Ventue360 online.  Your legal counsel will draft closing documents based on the agreed upon terms established during negotiations. Members of Angel Capital Group invest through special funding LLCs for their protection as well as ease of capitalization table management for the funding recipient. We request that capitalization tables be managed through Venture360 Technologies online portfolio management platform.

Pitch

This is your chance to shine.  Funding is not guaranteed, but the scrutiny of our deal screening process typically means that investors are extremely interested in any applicant that makes it to the pitch.

Post-Funding

Interaction between funded entrepreneurs and our funding LLC is all conducted through Venture360. We will request monthly or quarterly updates to be provided via Venture360′s private, secure platform which allows for modifications to capitalization tables in the event of new funding rounds, special messages from portfolio company managers to investors, and other items of news or information related to the growth of our portfolio companies. This way we can stay informed and help when you need us.

Syndication

ACG plans for two rounds of funding. We have found the “Chasm of Death” has been extended and now include the “Series A Crunch.” So, our concept is simple. We plan to lead or participate in the following round of capital for our portfolio companies assuming they meet expected milestones and prove their revenue model. We reinvest in the winners in our portfolio.

HAVE QUESTIONS?

Criteria

We are science and technology investors at heart.

The best part of my job is working with deserving, innovative companies and creative people who build great companies.”
-Eric Dobson, CEO
  • Companies with unique or protectable products or services with large market opportunities and recurring revenue models.
  • Companies with a management team in place.
  • Companies with a beta version of their product with beta clients/testing at a minimum.
  • Companies that are within six months of the inflection point of making meaningful revenue at a minimum for non-biotech companies; 24 months from revenue for biotech.
  • Companies that will become cashflow positive within 24 months and breakeven within 36 months at a minimum.
  • Preferred equity, convertible note into preferred equity, or revenue sharing deal structure.
  • Companies with a clear and logical exit strategy.
  • Companies from a $1.5M – $6M valuation.
  • Potential for a return of a 10 times our invested capital in 5 years, which generally equates to between $15M – $60M in annual revenue in that time frame.
  • Companies in the technology, software/SaaS, medical devices, healthcare, biotech/life sciences, and advanced materials sectors.  We also look at greentech, energy, financial services, and digital/web media sectors.  We will consider an occasional consumer product if it has a massive market and a strong IP position.
  • We generally do not invest in service-based businesses outside of software and finance.  We generally do not invest in the food/beverage sector unless it is a uniquely marketable brand.  We do not invest in real estate or REITs.  We don’t invest internationally at this time.  And, we don’t favor fashion or eCommerce investing.

Investment Diversification

When we consider an applicant for funding, we have a responsibility to our members to seek the absolute best deals out of as large a sample size as we can get. We also have a responsibility to help them build a holistic portfolio and specifically counsel against going all-in on long shots. We promote a diversification strategy for our investors, and we focus (to the best of our ability to judge) on opportunities we think have a high probability of exiting within around 5 years. And, from time to time, other market dynamics are in play that affect which deals proceed through our pipeline and which do not.

What we’re saying is: it’s not personal; it’s portfolio strategy. If it’s not a good fit today, stay in touch. And we always offer our two cents worth of feedback to any entrepreneur who wants to improve his or her game.

Diversification

1. Companies with unique and/or protectable products or services with large market opportunities and recurring revenue models.

2. Companies with a management team in place.

3. Companies with a beta version of their product with beta clients/testing at a minimum.

4. Companies that are within six months of the inflection point of making meaningful revenue at a minimum.

5. Companies that can be cash flow positive within a maximum of two years and breakeven within 3 years (new).

6. Series A preferred rounds; occasionally a Series B or Common offering if the venture is outstanding.

7. Companies with a clear and logical marketing plan, sales plan, and complete exit strategy.

8. Companies from a $1.5M – $5M valuation.

9. Potential for a return of a 3 – 5 times our invested capital in 3 – 5 years, which generally equates to between $15M – $30M in annual revenue at a minimum in that time frame.

We invest in the following markets:

1. Technology

2. Software/software as a service

3. Medical devices

4. Biotech/life sciences

5. Digital/web media

6. Financial services

7. Energy

8. Green/Clean technology

9. An occasional consumer product if it is unique and protectable with a large market.

We generally do not invest in:

1. Real estate and REITs

2. Retail (fashion, etc.)

3. Restaurants, beverages, and food service

4. Research and development laboratories

5. Companies solely focused on managing government contracts

6. Service-based businesses outside of software

7. Foreign based businesses

READY TO APPLY?