Posted by Bill Payne on February 23rd, 2012
After participating in a seminar I delivered a couple of years ago, an experienced angel investor commented to me he would never write another check for $250,000 to a single startup. Instead his new strategy would begin writing checks for $25,000 to $50,000 for many companies.
Rob Wiltank’s study a few years ago validated what many angels have suspected for
Posted by Bob Rice on February 10th, 2012
The list of angel investing mistakes is an awfully long one, equally as long as the list for liquid investments, plus a bunch more. On the too-aggressive side: believing the hockey stick, ignoring the management holes, and overestimating product acceptance. On the too-conservative side: my favorite startup myth, thinking that .
You Have Competition – Ellen Weber” href=”http://videos.gust.com/video/You-have-competition;search%3Atag%3A%22know-thy-market%22″>because competitors exist,
Posted by Bill Payne on January 31st, 2012
In 2007, Professor Rob Wiltbank reported in Returns to Angel Investors in Groups that angel investors made follow-on investment in about 30% of their invested companies. It was surprising for me to learn that follow-on investments correlated with lower returns, that is, angels that made follow-on angel investments saw returns of 1.4X their investment, while those that did not make
Posted by Bob Rice on January 23rd, 2012
We’ll get there, but let’s start here: I don’t believe in “angel portfolio theory,” which applies Wall Street’s favorite myth to the early stage world. According to this approach, the “smart” way to do angel investing is massive diversification, with scores of early stage bets.
There are several reasons that this common wisdom is more the former than the latter,
