2021 Report on Angel Investing in Canada

9

Preface

35

Spotlight on Start-up Visa

36

Executive Summary

56

1. Introduction

57 64

1.1

Angel Investment During COVID-19 Survey Design and Respondent Profile Investment Activity of Angel Organizations in 2020: An Overview

1.2 1.3

67 74

1.4

Summary

76

2. Angel Organization Characteristics

77 78 80 82 83 84 86

2.1 2.2 2.3 2.4 2.5 2.6 2.7

Introduction

Structure of Angel Organizations

Fee Structures

Age of Organizations

Size of Organizations – Membership Numbers

Gender of Organization Membership Investment Activity by Organization

Contents

90

3. Investment Activity in 2020

91 93 97

3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9

The Demand for Angel Investment

The Financing Funnel

Investments

105 108 112 116 119 122 135

Deal Structures

Valuations

Investment Characteristics - Industry Sector Investment Characteristics - Firm Size

Investment Characteristics - Region

Spotlight on Atlantic Canada

3.10 Spotlight on Alberta

143

4. The Investment Environment

144 147

4.1 4.2 4.3

The Investment Climate for Angel Investing in 2020

COVID-19 Challenges

The Importance of Structured Angel Activity and Government Support

162

172

5. Conclusion

173 174 177 178

5.1 5.2 5.3 5.4

Introduction

Investment Trends in 2020: Summary

Post-Covid: A New Normal for Angel Investing?

Implications for Policy-Makers

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