Post on 02-Jan-2016
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Yorkshire Association of Business Angels
Yorkshire CONCEPTRaising finance to grow your business
Tuesday 4 March 2008Crowne Plaza Hotel, Leeds
Barbara GreavesManager
Yorkshire Association of Business Angels (YABA)
• Started in 1995• Membership organisation
- 128 Angel members (private investors)- 45 Associate members (corporate)
• Investment pot of c£18m in Yorkshire• Supported by Yorkshire Forward• Not for profit introduction service
Consider Business Angel Equity Finance
• Immediate cash with no security required• No repayments until exit• Pay dividends if agreed only when in profit• Common goal to grow the business• Strategic partner – support & advice• Active partner at times• Proven experience & credibility
What do the Angels look for ?
• Patented product/niche market• High Growth business potential• Management team• Return on investment• Exit strategy
What can you expect ?• Someone who has business expertise and potentially
has contacts in the market• Possibly a syndicate of Angel investors sharing the
high risk at this very early stage• Angels looking for co-investment routes such as the
Viking Fund to benefit from the due diligence • Average YABA investment £50,000 which can
leverage further finance• 10% of opportunities succeed in getting investment
From prototype stage
Kwik Pipe LtdPatented water pipe lining system• Needed working capital• Investment in tooling & machinery • £50,000– 1 Angel Investor• £20,000 – Yorkshire Forward grant
Green technologyGSPK Multifuel Ltd
Dual fuel converter – LPG and diesel for HGVs offering lower carbon emissions and costs
• Finance for further product development and sales and marketing
• £25,000 – 1 Angel investor• £75,000 – leveraged industry and
grant funding
York University Spin-outRAPITA Systems Ltd Worst-case execution time software analysis tool
for embedded systems used in the automotive, avionics and telecommunications industries
• Viking Fund and YABA co-investment in 2005• £100,000 second round funding secured in 2007
One investor said “ the academic track record of its founders is extremely impressive. Added to that is the fact that the company has already started to secure its first orders with products that will make a real cost and time saving to its customers.”
New product launch & export drive
• Single Use Surgical Ltd• Second round funding to
increase working capital• Large syndicate of Angels“We’ve benefited greatly from the
experience of the Business Angels which has meant that we were well prepared to manage the company’s growth,”
www.susl.co.uk
How to access Angel finance • 2 page Executive summary
published on the YABA extranetFortnightly email alert to angel membersFee £50
• 5 minute presentation at a YABA Investment Forum Held every other month with 30-40 angels attending Fee £35
Guidelines on the YABA website www.yaba.org.uk
Summary
Yorkshire Association of Business Angels can help you to reach 128 Business Angels in the
region at one time at very little costand
Business Angelsnot only bring
moneybut also
skills and experienceto support your business