Partnering with Universities for Deal Flow How working with your local university can lead you to the next Google! Welcome! January 14, 2015 Use chat to submit questions Yes, you ll get the slides We re recorded, so come back and listen again 1
Mission: Fuel the success of angel groups and accredited individuals active in the early-stage landscape World s largest trade group for angel investors o 220+ angel groups o 12,000 accredited investors o Voice of accredited individuals, portals, and family offices 50 US states + Canada Research/ education partner Member Groups & Accredited Platforms New Dominion Angels 2
ACA Partners Our Moderator Jamie Rhodes Add Photo Here Founder, Alliance of Texas Angel Networks Founder, Central Texas Angel Network Board member, Angel Capital Association CEO, National NanoMaterials 3
Today s Presenters Stephen F. Flaim, Ph.D., F.A.C.C., F.A.H.A. Director, Angel Capital Association Emeritus Chair, Tech Coast Angels San Diego, CA John Hanak, J.D. Purdue Foundry Entrepreneur in Residence Founder of the Purdue Angel Investment Network NBIA 1 st Vice Chair, Board Member W. Lafayette, IN David Verrill Board Chair, Angel Capital Association Founder/Managing Director, Hub Investment Group, LLC Boston, MA Differing Frames of Reference Faculty are rewarded for their research, patents and papers. They can see results from one experiment and claim problem solved. Basic research is often conducted in the fashion of here is funding, let us know when/if you discover something. Universities own Intellectual Property. Their goal, working through the technology transfer office, is to build revenue for the university. They are often driven by the philosophy all IP could be the next Gatorade Angels are looking to invest in a fully formed startup that includes an entrepreneurial team with a business plan and a well defined market and product. Very few are interested in funding a business that is still trying to define its product. Often the quality of the management team is more important to investors than the quality of the technology. Startup entrepreneurs are interested in building companies with innovations that can scale into large markets. In their vernacular a solved problem implies a solution that is defined, repeatable and scalable. 4
John M. Hanak, J.D. Entrepreneur in Residence Venture Funding Relations Purdue Foundry Former Statewide Director Purdue Tech Centers P3 Alliance Angel Network NBIA Board Member 1 st Vice Chair Helping the Purdue Community move ideas to the marketplace through new ventures Lessons Learned: Ideation Articulate the Value Founder to Entrepreneur/Team Business Talent Challenge Funding Challenge And Put the Entrepreneur at the Center... 5
Purdue Foundry Goals & Metrics FOUNDRY GOALS Move ideas and innovations to the marketplace Capitalize on Purdue s vast talent and innovation capabilities Produce happier, longer and healthier lives through innovation Produce high quality jobs for our community and state FOUNDRY METRICS 24 July 10, 2014 Purdue announces record-breaking year in commercialization! 6
University Angel Investing Model Stephen F. Flaim TEAM Working with Universities David Verrill University technology is innovation in its purest form Academics have to prove a technology only once to publish Faculty rarely make for good CEOs One excellent way to wrap up the technology is to hire the students who worked the bench into the company 7
Anatomy of a Technology Focused New Venture Jamie Rhodes IP Rights Technology Anatomy of a Technology Focused New Venture IP Rights Technology There are more fundamental issues than technology and IP Success = Getting this Part Right 8
Comprehensive Concept of New Venture Right IP Rights Technology Market Engagement Team $$$ Motivation vision These needs change depending on the team and how they develop and execute their market engagement strategy! Entrepreneur needed - Team is built by the entrepreneur IP Rights Technology Market Engagement Team Motivation This is developed by the team and continually adjusted and adapted to market conditions Must be embodied by the team 9
Thank you! Audience Questions Webinar programs archived at: www.angelcapitalassociation.org/events/webinars/ Additional Resources Marianne Hudson Executive Director Angel Capital Association Christopher Mirabile Managing Director, Launchpad; Vice Chair, Angel Capital Association http://www.angelcapitalassociation.org /news-forbes/ http://www.angelcapitalassociation.org/ news-inc/ 10
Upcoming Events Webinar, January 28, 2015 at Noon Eastern Betting on the Right Jockey - The Number One Indicator of Investment Success 10 th Annual ACA Summit, April 14 16, 2015 in San Diego Register now for early bird discount: http://www.angelcapitalassociation.org/2015summit/ 11