Capital Raising Part 2: What is the process

After you have applied, what can you expect?

Enterprise Angels evaluates all funding applications it receives, but due to the volume of enquiries, we only respond to those that meet our basic investment criteria and those that will interest our investor database. 

Screening Committee

If you pass the initial screen, we may seek further information from you. When we have necessary information, we will put you to our screening committee who will select the companies to present at our Pitch Night.

The committee evaluates each application to determine whether the investment opportunity has been sufficiently prepared and whether there is likely to be enough investment interest to lead the deal to completion.

Pitch

If the screening committee decides in your favour, you will be invited to present to our membership and potential investors (an audience of around 50-70 per event) at our next pitch night (refer here for upcoming dates).

Our pitch nights give our investors the opportunity to see you and your business first-hand, we cannot underplay the importance of this in the success of your capital raising.

There is no cost to you to pitch, although there is a cost for video recording, and if the pitch results in investment, a commission on capital raised will apply. Please review our fee schedule.

Due Diligence

If there is enough investor interest following the pitch night, a follow-on meeting is arranged between yourself and the group of interested investors enabling the investors to gain a better understanding of the opportunity and move forward with due diligence and term negotiations.

Terms and investment

After conducting due diligence, we will agree on a term sheet, valuation and our investors will commit funds. We may also reach out to our Funds and non-member wholesale investors and offer them the opportunity to participate in angel-backed deals.

Completing your funding round

When your company reaches its target, and all the legal documentation is completed, the funds are transferred into your company’s bank account.

Many factors can influence the length of time this process takes, including but not limited to: non-disclosed material information/surprises, slow supply of key information from the company and/or investors and extended negotiation of terms.

In general, this process will be complete after 6-8 weeks and you will have the capital and expertise to continue your journey.

View Part 3 here.

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