Are you looking for Angel Funding?
When you’re looking for angel funding it is really important that you find a local angel investor that is right for you. Someone who doesn’t just give you money, but who can provide you with advice after they made their investment. We want to be that investor. At the same time, we want to make sure that we invest in the right opportunities for E-Fund.
Below we share information that we hope you find helpful to assess if E-Fund is a good fit for you.
What companies does E-Fund invest in?
We invest in early stage BC-based technology companies in Life Sciences, Cleantech, Information and Communications Technology and other unique technology companies that are introduced to us by our investors. Companies must be an Eligible Business Corporation (EBC).
How do I apply for investment from E-Fund?
We watch companies pitch at the VANTEC Angel Network, accelerators or other pitch venues. When we see a company of interest we have a follow-up meeting with the CEO and share our thoughts and findings with other members of the investment team. If we see broader interest and alignment with our investment criteria we monitor the company till we believe the company is “ready for investment”.
What are the most important criteria for E-Fund to consider investment?
Our investors need to be interested in the opportunity, and have strong domain expertise in your area of business. When it comes to your business, we want to see a strong team that can execute and adapt, a scalable and profitable business model, and a route to an attractive exit.
When does E-Fund consider doing due diligence?
When companies have demonstrated product market fit and show early signs of traction such as product trials or revenue.
How does E-Fund do due diligence?
We form a due diligence team from investors that have expertise in your field of business and we go through a process of information collection, interviews and analysis of the strengths and opportunities of your team, the business opportunity and the progress you have made and the route to a possible exit.
We write a report that discusses the key areas of your business, after which the team decides wether to make an investment recommendation to the E-Fund board or monitor the company till concerns have been resolved or there is better alignment with our portfolio strategy.
How much does E-Fund invest?
E-Fund typically makes a first investment of $25,000 – $50,000 with follow on investments of up to $100,000 if progress milestones are met. In addition we syndicate deals and share our due diligence findings with our investors who may want to make an additional direct investment, and angel groups or market exempt dealers who we have a relationship with and expressed their interest to co-invest.
How does E-Fund provide value-add?
If you are new to seeking angel funding you will likely find that the due-diligence process can lead to valuable conversations. Post-investment we like to stay actively involved and help our companies progress.
Tips for Getting Investment Ready
How can I raise my profile in front of Angel Investors?
Pitching at the VANTEC Angel Network is a great way to get in front of more potential investors. VANTEC welcomes early stage entrepreneurs to pitch and will send out announcements of upcoming pitches to the angel investor community. By pitching to more investors you will increase your odds that you will find more of the right investors for you.
If you want to practice your pitch, the VANTEC Pitch Circuit offers a great way to get feedback from an audience that includes other entrepreneurs, business mentors and investors. It is free.
How can I prepare for due diligence?
Here are some things we would like to see.
- A term sheet that protects early investors
- Proprietary technology or other strong barriers to entry
- Demonstrated product/market fit with a compelling market opportunity
- Well-articulated strategy for capturing and defending a significant market share
- Strong management with relevant successful experience
- Use of proceeds, current balance sheet, and transparency
- Exit strategy for investors (within 3 – 5 years, 5 – 10X multiple)
- Capital invested by family and friends
- Other VCCs or VCs investing. We invest subject to others co-investing.
- Realistic company valuation that fits within our risk/reward expectations
- Desire for advice and coaching
“Due diligence is a thorough process, and it was without a doubt a learning experience. The assigned E-Fund team got to know me quite well and provided an incredible level of mentorship. If there’s one thing I learned, it’s that there’s a lot you don’t realize you don’t know until you meet someone who does.” – Herman Lo, CEO ViewsIQ
“Since receiving an investment through E-Fund, our investors check in regularly with me, and I send quarterly reports using the hockeystick.co platform. When I really need a second opinion, I’ll contact them. I’ve valued their advice and support since the beginning, and now I try to be especially deliberate with my time and resources.” – Herman Lo, CEO ViewsIQ