What do VCs and Angels Want?

The first panel of the CIX featured Austin HillDavid S. Rose, and Rick Segal discussing the differences between VCs and Angels and what they’re looking for.

Investment in a growth company is a two-way street. This session will focus on what type of investor you should look at for your business, and what investors are looking for. Does it make sense to search out an Angel Investor or go to a Venture Capital firm? What is the current landscape for startups in Canada and what options are available to emerging companies? What are the rules to never break? What spaces are hot and which are not?

JLA Ventures’ Rick Segal spoke on behalf of the Venture Capital industry and summed up VCs underlying goal – “to make the most amount of money in the least amount of time”. In response, Angel David Rose stressed that Angels are more interested in lending expertise and inspiration in a mentor role. Angels tend to value the social aspects of investing and intangibles that come along with it.

Akoha’s Austin Hill emphasized the importance of the VC/Angel ecosystem. He used the analogy of a hockey farm team. Friendly angel money is the farm system for the big leagues – without it you can’t ice a Stanley Cup contender that VCs will invest in. 

The entire panel agreed that entrepreneurs should bootstrap their idea as long as possible while hitting risk-reducing milestones. And most importantly – learn how to pitch your business idea!