The Truth About Angels Informal private investor with smart money (finance+expertise) Informal private investor with smart money (finance+expertise) Investment euro Investment euro Willing to share their managerial skills. Willing to share their managerial skills. Often prefer to invest in their region of residence Often prefer to invest in their region of residence Seeking profit, patient investors. 3 to 4 years. 30 % return. Seeking profit, patient investors. 3 to 4 years. 30 % return.

BA FINANCING CAPITAL NEEDS TIME SEEDSTART-UPEARLY GROWTHSUSTAINED GROWTH HIGH RISK LOW RISK Friends, Family, Fools Business Angels Formal Venture Capital IPO GROWTH

Some Data on US Angels Angels Invest aprox: $30 - $40 Billion every year over ventures.Invest aprox: $30 - $40 Billion every year over ventures. One investment around $ to $2 million.One investment around $ to $2 million. Venture Capital Funds invested in 2001: $36.5 Billion.Venture Capital Funds invested in 2001: $36.5 Billion Deals → 9.3 million per deal Deals → 9.3 million per deal. Center for Venture Research – University of New Hampshire

Some data on UK 346 BA registered 346 BA registered Total invested $30 Million.Total invested $30 Million. BA market has no falled after the « Bubble » as VC did.BA market has no falled after the « Bubble » as VC did. Report on business angel investment activity 2000/2001. Professor Colin Mason. Strathclyde University

BUSINESS ANGEL NETWORKS Private or semi-public bodies whose aim is to match entrepreneurs looking for equity with Business Angels Private or semi-public bodies whose aim is to match entrepreneurs looking for equity with Business Angels Ban can operate localy, regionaly, or at national level. They need a critical mass in terms of good project and angels. Ban can operate localy, regionaly, or at national level. They need a critical mass in terms of good project and angels. Services provided by bans. Creating awareness; identification BA; Assistance Entrep; Matching. Services provided by bans. Creating awareness; identification BA; Assistance Entrep; Matching. Tools of BANS: Organisation investments clubs, forums; Information bulletins, magazines; Internet, database; Personal introductions. Tools of BANS: Organisation investments clubs, forums; Information bulletins, magazines; Internet, database; Personal introductions.

FUNDING OF BANS Matching is only the visible part of Ban activities, lot of the time devoted to make the entrepreneur investment ready and to disseminate the concept in the region. Matching is only the visible part of Ban activities, lot of the time devoted to make the entrepreneur investment ready and to disseminate the concept in the region. Banco Ambrosiano (I)-Deutsche Bank, Venture Capital Association (D). DTI + banks (UK) Banco Ambrosiano (I)-Deutsche Bank, Venture Capital Association (D). DTI + banks (UK) Fees charged. Fees charged. Need for public support. Need for public support.

BANS BY COUNTRY

The Future of BA Market Syndicates & Angels alliances Electronic Networks Integrated Finance – Incubators/ Spin-offs, Universities/ Industrial Parks.

Thank you for your attention Monica REINO EUROPEAN BUSINESS ANGEL NETWORK Avenue des Arts 12, bte 7 B Brussels T.: + 32 (0) F.: +32 (0)