Evaluating Angel Groups: Considerations For Prospective Members
I’ve heard from a ton of people asking for my perspective on different angel investment groups, and for advice on how to choose the “right” group.
With the goal of helping more people get experience investing, I put together some considerations below, based on key distinctions I've seen across groups.
You can use these questions below to evaluate potential groups, and also identify which elements are most important to you personally:
? Leadership: Who are the leaders of the group, and what are their experiences? Are these people you want to learn from? Are leaders accessible to members, and in which forums?
? Portfolio Mix: Which industries do you want to invest in, and are those represented in the group’s portfolio? How are deals sourced? Are a small number of members bringing in the bulk of the deal flow, and who are they?
? Member Roles: What are the different roles members play within the group? Are there open near-term leadership opportunities that are a good fit for your interests? How hands-on do members get to be across the deal cycle?
? Current Members’ Experience: There are a number of groups out there catering to first time investors. Dig into the current membership composition and their professional experiences. Having a membership that includes experienced angels, VCs, operators, and industry SMEs is highly valuable.
? Community: How do members stay connected, and how does the group facilitate these connections? Identify how many members are local to your area, and see if their interests and goals align with your own.
? Transparency: Learning within any group will be driven in part by how much transparency you have across what the group is doing and saying about deals and broader opportunities. How does the group facilitate transparency for members and founders?
? Founders Served: Which types of founders is the group most excited to serve? How is the group facilitating investment in and support of underrepresented founders? Look at the leadership teams, advisors, and board members of existing portfolio companies to validate this.
? Founder Collaboration: How does the group work with founders across the deal cycle, and following investment? How does the group support founders today, and how would leaders like to see this evolve? What feedback does the group provide to founders who pitch? How does the group support its portfolio companies?
(Out of characters, share your adds below!)
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Hi, I’m Brittany Ryan, Founder & Principal at Sunrise Advisors. I serve as a fractional product and commercial executive to health tech startups, venture capital firms, and venture-building teams.
I help health-focused organizations at all stages define their solutions, test their key assumptions, and go to market in collaboration with their stakeholders.
I am also a proud member of TBD Angels.
#angelinvesting #startups #founders #community