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The Investment Climate for Angel Investing in 2020 4.1
A s in previous years, angel organization managers were asked to rate the current climate in Canada for angel investing on a scale of one (very poor) to ten (excellent) (Figure 23). Scores range from three to nine. The median score is 6.0, compared with 7.0 in the pre- vious four years. The mean score is 6.1 which is lower than in previous years (2019: 6.4; 2018: 7.0; 2017: 6.6; 2016: 6.5; 2015: 6.5). While the lower average score is to be expected because of the impact that COVID-19 has had on the economy, what might not have been expected is the number of organizations that rated the
investment climate very good and the relatively small number that rated it as poor. It would therefore appear that COVID-19 has not had the negative impact on angel investing that was anticipated in the early months of the pandemic. However, there is cause for concern as there was less aggregate capital available to a larger number of entrepreneurs. Indeed, there is a significant need for greater capacity-building to increase the amount of available capital to meet this increased demand from entrepreneurs.
202 1 ANNUAL REPORT ON ANGEL I NVEST I NG I N CANADA The Chang i ng Landscape
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