E X ECU T I V E S UMMA RY I nves tment Ac t i v i t y i n 2020
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Atlantic Canada. Central Canada’s highly active investment environ- ment is confirmed when investment activity is calculated on a per-capi- ta basis. Regional differences in the mean size of investment were much narrower in 2020 compared with previous years, with little difference in the average deal sizes in Cen- tral Canada and Western Canada ($256,000 and $222,000 respec- tively), although Atlantic Canada continued to have a much smaller average deal size ($134,000).
of structured angel activity in re- gions such as Western and Atlantic Canada. Central Canada (Ontario and Quebec) accounted for 72% of investments in 2020 compared with 25% in Western Canada and 3% in Atlantic Canada. Central Canada’s highly active investment environ- ment is also reflected in its share of the amount invested, accounting for 78% of the total. There are also re- gional differences in the proportion of new and follow-on investments. In Central Canada, 60% of invest- ments were new compared with 75% in Western Canada and 58% in
Many of these are follow-on in- vestments in businesses that they have previously funded. Follow-on investments are typically in slight- ly larger firms – 42% in businesses with six to ten employees compared with 11% in businesses with one to five employees. Just over one-quar- ter of follow-on investments were in businesses with more than 25 em- ployees compared with 15% of new businesses. Angel investment activity continues to be distributed unevenly across Canada due in large part to a lack
202 1 ANNUAL REPORT ON ANGEL I NVEST I NG I N CANADA The Chang i ng Landscape
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