Benefits of Membership
Shoulders of Giants
Investing alongside other experienced angel investors enables the pooling of capital and aggregation of expertise from multiple industries and functional skills, resulting in more effective due diligence, terms negotiation and board stewardship. Nearly all members have made an investment in the last 2 years.
Quality Deal Flow
Members attend monthly meetings where 3 to 5 companies deliver investor pitches. These companies are selected from the 20 to 30 companies that are actively sourced by the AoA each month and subjected to a rigorous screening process that has been honed over 15 years.
The AoA’s internal rate of return (IRR) is about 20%. We calculate our IRR over the prior 10 year period based on total cash invested by our members thru AoA, cash realized from exits, and the current value of non-liquid holdings. Non-liquid holdings are initially valued at cost and written down over time on a linear scale. We do not mark-to-market. Data on investments and returns is obtained from our members, our portfolio companies, as well as from public records.
The AoA has celebrated more than 30 exits with more than $1b in value creation. Recent exits:
- Clarisonic/Pacific BioScience Labs (acquired by L’Oreal)
- CleverSet (acquired by ATG)
- Clover/Coffee Equipment Company (acquired by Starbucks)
- Dashwire (acquired by HTC)
- Geospiza (acquired by Perkins Elmer)
- Insitu (acquired by Boeing)
- Shelfari (acquired by Amazon)
- SNAPin Software (acquired by Nuance)
Training and Resources
Members have access to regular investor education events organized by the Alliance of Angels, which cover topics such as due diligence, term sheets, board governance and managing exits. Model term sheets and due diligence checklist are also available.
*Accredited Individual Investor Note: Investments resulting from introductions by AoA may involve a high degree of risk. AoA has not evaluated or endorsed the merits of any investment opportunities presented through its services and makes no recommendations regarding the appropriateness of particular investment opportunities for particular investors. Each potential investor may rely on his, her or its own judgment regarding the merits of a particular investment opportunity. Participating in AoA is limited to investors who qualify as “accredited investors” under Regulation D of the general rules and regulations under the Securities Act of 1933 of the Securities and Exchange Commission AND who have such knowledge and experience in financial business matters that they are capable of evaluating the merits and risks of prospective investments.