A buzzword in entrepreneurship and equity investing is “inclusiveness.” It is gaining traction with Venture Capitalists and angels alike, who see that building the diversity of the investor community and the entrepreneurs they invest in is not only a good societal goal, but it is also a way to build great deal flow, make better investment decisions, and grow returns.
It’s exciting news! The CEO of one of your investments tells you that a buyer expressed serious interest in acquiring her company for €30M. Since the company has struggled to find huge growth, you are relieved and do a quick mental “back of the envelope” calculation and you figure you’ve bagged a 5x return in a couple of years. Not too bad for one of your first angel deals!
How to Apply the 3 P's to Selecting Angel Investments
The first approach we recommend for selecting investable companies is to screen each company by examining the Team, Market Opportunity and Product. That’s a great way to sift through hundreds of companies to find the few diamonds in the rough. But for serious angels with more solid prospects than they can possibly invest in, a second filter is needed. Whether they realize it or not, most investors apply a second level of filter in their screening process. Investors might use different words but they are all doing the same basic analysis. We call this secondary filter the 3 P's. They are easy to remember and understand:
KanDo Medical, an independent Healthcare Solutions Provider, has acquired Fleetwood Healthcare, a Wicklow based Medical Device Distributor. Fleetwood Healthcare was founded in 1995 by Conor and Susan Fleetwood and is a proud partner to some of the worlds most respected and innovative Endoscopy and Surgical Device Manufacture rs. Fleetwood Healthcare pioneered the introduction of single use Endoscopy products to Ireland and is highly regarded as a leader in the provision of bespoke clinical workshops to healthcare professionals.
UtilityAR, an enterprise software company offering Augmented Reality (AR) integration solutions to businesses, has announced a seed round of €600k as the company positions itself to compete in the rapidly growing AR industry currently worth €13.6bn annually.
HBAN announces that Bluedrop Medical, a Galway based Medical device start up, has secured €3.7M in funding to help manage one of the most devastating complications of diabetes – the diabetic foot. An initial seed investment of €1.2M was led by HBAN’s MedTech Syndicate - which itself invested €340K in the seed round. Enterprise Ireland and the Western Development Commission also invested in the funding round along with other members of the investment community. A €2.5M grant was awarded through the European Innovation Council.
If you‘re a high potential Start Up that has a new innovative product or service ready for commercialisation and/or have achieved some early traction and are raising finance to scale internationally please contact us.