One of Several Available Screening Tools The Critical Factors Assessment (CFA) by the Canadian Innovation Centre is an online tool that entrepreneurs can use to help with screening. The CFA measures 42 factors that are categorized into the “8 Biggest Hurdles for Venture Success” (see www.innovationcentre.ca). The cost is $1,500, but those who have used it say it is an effective tool, not only for screening, but also for structuring discussions, supporting identified weaknesses, identifying key term sheet issues, and enhancing the ability to share information and syndicate deals.
2.3 Managing Deal Flow If your Angel portfolio target is 20 investments over four years, that means you might see over 100 investment opportunity summary sheets, watch 80 investment presentations, and select 25 for due diligence. Each due diligence team might consist of half a dozen different co-investors, and each company will produce documentation that includes contracts, plans, sharecap tables, financial scenario analyses, sales pipeline forecasts and employee resumes. That’s a lot of information! Most beginning Angels don’t use any specific software tools but then gradually adopt a tool here and there as their more-experienced co-investors pull them into the systems they are using. Everyone seems to have their favourites. Popular deal- flow management tools include ProSeeder, Gust, Slack, LeanMonitor, Wunderlist, OurCrowd, Intercom, and Captable.io. (NACO 2015 National Angel Summit, Using Technology to Support Angel Investing )
42 A Practical Guide to Angel Investing: How to Achieve Good Returns
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