Angel Investors, down but not out — some bright spots

There is so much discussion and knashing of teeth about the void of angel investors in the market right now.   Frankly, I think it is a convenient excuse for those investors that weren’t actively investing in 2008 and therefore continuing to not invest in 2009, but were still “in the game” attending events, considering deals, requesting business plans, but ultimately being an empty suit.   We saw this a lot right after the dot.com burst.   It took probably a year and half before those “walking dead” finally faded away or got to the point of making an investment.  Unfortunately, you can never really know who these decoy investors are (see my blog on that topic on www.entrepreneurblogspace.com) until you have fully engaged and wasted time and probably some money with them.   Likewise, a company that is struggling to raise capital, but has a fundamental flaw that they are unwilling to address, either out of arrogance or ignorance, can use the current economic climate as their excuse…”oh woe is me, nobody wants to invest, boo hoo, because the economy is bad!”   We talked about the available capital in my radio interview yesterday with Bank President, Chuck Lewis of One Georgia Bank and Angel Investor and Fund Manager, Ian Adlington of Newport Capital and the Kereitsu Forum.    These gentlemen are two of the panelists will be kicking off the second day of events at the SE Private Equity & Capital Conference (SPEC) on April 14th & 15th…..hurry if you are a company seeking capital or investors seeking innovative companies to consider investment with.

 

Some Highlights of Positive Indicators in the Angel Capital Markets:

Angel investments dropped in 2008 by 26.2 percent over 2007, but the number of deals was relatively unchanged, with 55,480 entrepreneurial ventures receiving funding, according to the 2008 Angel Market Analysis released by the Center for Venture Research at the University of New Hampshire.  Full Report:  http://www.newswise.com/articles/view/550514/

Also Angelsoft, as the software used by hundreds of angel investor groups, keeps excellent statistics on trends. http://angelsoft.net/industry/index.seam  We have been hearing of companies getting funding in odd places…mid west, southwest, of course the west coast.   Although the due diligence process may have taken a few more months than usual, they still closed on funding when the regular capital markets and stock markets were at their all time worst.   Just take a look at this impressive list: http://angelsoft.net/funding-stories/ 

This news in encouraging to us.  It should be encouraging to entrepreneurs out there seeking capital….good companies with good business models and good management team, and appropriate valuations, get funding.   We are more committed than ever to make the upcoming SE Private Equity & Capital Conference (SPEC) more successful than ever with exciting innovative companies on the agenda and a convergence of angel investors, VC, fund managers, and investment bankers from accross the US.   We believe we can be Economic Architects by creating a rich environment for deals to get done, jobs to be created, and delivering innovation and wealth to the market.

Hear from the Businesses that are Making a Positive Impact on the Economy!

This episode will highlight entrepreneurs that will change how business gets done in this new economy as they participate in the SE Private Equity Conference on April 14 & 15

Roger Kolasinski, NuVue Therapeutics NuVue Therapeutics, Inc. (NVT) is a privately held, biotechnology-driven, medical device company that has developed, and brings to market, a totally new and innovative image-guided, site-specific, drug and cryothermally mediated, regimen of cancer therapy for soft tissue tumors. www.nuvuetherapeutics.com

Brian Horton, Share Comm A full suite of communication products for less than the cost of one. LocFax paperless fax, ReadyCall conference calling, MeetingNow web conferencing and more for only $15.95 per month. www.sharecomm.org

Listen Now!  Hear from the Businesses that are Making a Positive Impact on the Economy!

Attend the Southeast Private Equity Conference SPEC http://sePrivateEquity.org

Check out these investment websites: www.kugarandholdings.com, www.launchfn.com, www.nbai.net, www.kyrmedia.com, www.myvirtualangelworld.com, and www.dothedeal.org

Listen, Learn, Enjoy and Share with a Business Associate!

Carbon Credits – Will a Futures Exchange be the Next Bubble for Investors?

There is a lot of buzz about this new area of commerce–Carbon Credits, but what does it really mean for investors and green companies?  Is it majic dust with no real value other than the made up value of some market exchange?  Can Carbon Credits really be something tangible to be bought and sold?  Will the ability to buy a carbon credit to offset bad environmental impact of a company really help the environment at a micro level?

During the radio show held on Feb 27th on Blog Talk Radio Karen Rands, host of SPEC Talk Radio, had a lively interview with Ian Adlington of Newport Capital, Investor, Entrepreneur, Market Maker for Carbon  Credits as a capital platform; and green entrepreneur, Chris Pollatos, founder of Verdant Energy Solutions, LLC www.verdantenergysolutions.com manufacturer of Bio-coal and analyst of the carbon credit trends. The heart of the conversation was  the nature of a carbon credit, who buys, who sells, and the impact it has, not only on the environment at a micro and macro level, but how investors and financial markets are responding.   Will Carbon Credits become the next boon for the financial markets and drive our next investment bubble?   Do Carbon Tax Credits motivate the emissions producers enough to change their behaviour, or is the ability to by carbon credits just a bandaid that doesn’t really fix the problem?

“Investors are increasingly looking for opportunities to obtain exposure to investments that will gain from a shift to a lower-carbon economy.”

-Merrill Lynch, January 2008

As it turns out, Carbon Credits are a tangible product that you can’t touch and feel, but has a real value that appears on balance sheets, can be bought and sold, and can attract investment and financing from investors and lenders for the companies creating the carbon credits.  It is really becoming a new economic platform.   According to Barclay Capital, the global emissions market has grown from nothing, nada, zilch in 2004 to a market with traded volume worth about €25 billion or about $32 B US in 2007 alone and growing.  It is the buzz with innovative companies and new funds being launched.  There are partnerships being formed, acquisitions being made and investments by leading commodities and derivatives exchanges in anticipation of the potential of where this can go as a new commodity.  Many of the exchanges you may have never heard of: European Climate Exchange ( ECX ), ICE, Nymex, European Energy Exchange ( EEX ), Chicago Mercantile Exchange is active and Hong Kong is setting up an exchange.  The complexity on this topic is increasing as more exchanges spring up around the world and even beyond carbon emissions, is the added factor of climate-change derivatives such as disaster and weather risk are linked and traded.   Investors can invest via exchanges or directly through a broker by pooling their funds.   Money seeks a way to grow itself, and every few years we get a new bubble.   These experts believe Carbon Credits could be just that thing…so if you haven’t learned anything from the last decade….dot.com bubble, real estate bubble… you want to be at the beginning of the bubble to make the most profit.   But as you will hear in this radio show, there is real potential for this new economic market to be stable and steady in its growth, and not just another bubble

Carbon economy needs freedom to respond to the supply and demand, based on a standardized measured value of carbon credit.   Carbon economy allows Compassionate Capitalists to invest in companies that brings innovation to market that reduce greenhouse emmissions, neutralize carbon footprints, help our planet thrive and make a return on their investment.   Sounds like Utopia!

Listen to the replay of the interview, learn, get involved, and spread the word.

Listen Now!  Carbon Credits – Will a Futures Exchange be the Next Bubble for Investors?

Check out these investment websites: www.kugarandholdings.com (parent company),  www.launchfn.com (consulting services for entrepreneurs to prepare for and attract capital), www.nbai.net (angel investor membership group in Atlanta), www.kyrmedia.com (sources for ebooks for entrepreneurs and investors),  www.entrepreneurblogspace.com (entrepreneur blog), and the SE Private Equity & Capital Conference (SPEC)

Listen, Learn, Enjoy and Share with a Business Associate!  Also provide a comment.