As an Angel Investor or Group Leader

1
As an Angel Investor or Group Leaderwhy
syndicate?
2
Risk Reduction

• If companies get all the money it needs, in
  reasonable time, there is more likelihood of
  success.
• The best resource, the CEO, will spend 60-90 of
  his time on the business instead of seeking money
  to meet payroll.

3
Improved Quality of Deal Flow

• If it becomes known a group can facilitate a 5m
  financing, we will see deals of higher quality
  that we may not otherwise have an opportunity to
  see.

4
More Eyes on the Deal

• More Angels will look at the deal from each
  unique point of view. The more likely we will
  see what is needed in the company, more resources
  and referrals for success.
• Syndicate only our very best deals. The
  sponsoring group should do a thorough due
  diligence to share with the other groups and have
  a qualified board seat to see deal through.

5

• Follow on groups are responsible for own due
  diligence, adding it to web postings to be
  shared.
• Base line common due diligence process, suitable
  to Angel Deals. Needs to develop consistency.
• Agree to 3 types of term sheets as Basic
  Preferred Shares
• Preferred Shares with Interest
• Secured Note convertible to Preferred Shares
• All with right to invest Pro rata forward
• Or ?
• For a company to be given possible access to
  larger ongoing capital, should result in
  favorable terms for angels.

6
More Angels joining Groups

• If we see risk down and deal quality consistently
  up, it will result in more Angels joining groups.

7
If more Angels Join

• If more Angels join, more funding occurs,
  attracting more deals.. Etc.