2021 Report on Angel Investing in Canada

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initiatives in Denmark, Estonia, Fin- land, and Norway.

a lack of venture capital in some communities, has led American an- gel groups to shift towards more collaboration. The European Business Angel Net- work (EBAN) highlights syndication in European regions such as the Nordic Angel Program (NAP), an international cross-border training and investing program for angel in- vestors, which facilitates cross-bor- der angel syndicates and shares an- gel investment best practices. Led by experienced local angels, NAP offers a unique opportunity to invest as a group in promising high-growth companies linked to leading startup

ment activity changed. There was an approximate 28% decrease in the mean size of investment noted from 2019 to 2020 (Figure 12) but there was also a 39% increase in the num- ber of investments. The data and survey results show that there was a shift to smaller cheque sizes and more diversification, which is logical in the midst of the uncertainty that the pandemic brought. The trend of increased syndication is also seen in the US, where the Angel Capital Association (ACA) cites the motivation to reduce fi- nancial risk and harness the power in the wisdom of a larger group, and

Technology has also led to an in- crease in syndication with platforms like AngelList and DealPoint helping startups to raise funds from multi- ple accredited investors. VANTEC noted that in the past, the major barrier to increased syndica- tion was scheduling and attending meetings. With COVID-19, the re- duced need to commit time to travel has made it easier to work with in- vestors locally, nationally, and inter- nationally.

202 1 ANNUAL REPORT ON ANGEL I NVEST I NG I N CANADA The Chang i ng Landscape

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