Angel groups join Startup America, project aims to double number of investors

April 21st, 2011

Startup America Partnership named several new partners at Facebook Tuesday, including the Angel Capital Association and Angel Resource Institute in a move to double the number of investors in angel groups and providing member companies with mentors.

The angel project is aimed at doubling the number of high caliber investors in angel groups across the country, increasing annual investment by $1 billion.

In addition, qualifying Startup America Partnership member companies will be matched with angel investor mentors to build their success in starting and growing their businesses.

“The timing for our commitment with Startup America Partnership is perfect,” said Allan May, chairman of the Angel Resource Institute. “Angel capital is increasingly important to entrepreneurs and we were looking to strengthen the pool of angel investors and better connect them with startups in more communities.

As many angel investors are successful entrepreneurs themselves, they have the knowledge, experience, and contacts to help startups successfully start and build their companies. We will ensure high quality education that not only increases the number of angels in the United States, but ensures that new angel investors have the skills needed to actively invest in and mentor high growth ventures.”

The Angel Capital Association (ACA) and Angel Resource Institute (ARI) will work together on two programs: growing the pool of angel capital available for startups and connecting startup entrepreneurs with experienced investors for mentoring.

ARI will conduct a series of workshops and events to educate potential and new angel investors on best practices in angel investment and then link interested investors with 160 ACA member angel organizations, so they may work with many other investors to support promising high growth ventures.

It is expected that the number of investors in angel groups will double in two years as a result. The angel mentoring program matches angel investors and promising startup entrepreneurs for mentoring so that promising startups receive experienced advice on determining the right capital for startup, best positioning the company for capital, and building the company for long-term growth.

As many as 2,500 of these mentored companies may attract angel or other capital during the first two years of the program.

Thirteen ACA member angel groups committed to participate in the inaugural Angel Mentor Project during the 2011 ACA Summit in Boston, and the project will expand to include many others. Those organizations include:

• Band of Angels, Menlo Park, CA
• BlueTree Allied Angels, Pittsburgh
• CommonAngels, Boston
• Golden Seeds, New York, Boston, Philadelphia, San Francisco
• Hub Angels Investment Group, Boston
• Central Texas Angel Network, Austin
• Jumpstart New Jersey Angel Network, Mt. Laurel, NJ
• Life Science Angels, Palo Alto, CA
• Mid-America Angels, Kansas City
• Mid-Atlantic Angel Group Fund, Philadelphia
• SeedStep Angels, Oklahoma City and Tulsa, OK
• Sierra Angels, Incline Village, NV
• Wilmington Investor Network, Wilmington, NC

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