Julie Angus, CEO and Co-founder of Open Ocean Robotics, awarded NACO Startup of the Year 2019.
The Investment Environment EXECUTIVE SUMMARY
Group managers were asked to rate the climate in Canada for angel investing on a scale of 1 (very poor) to 10 (excellent) (Figure 26). (Responses related to the pre-COVID-19 context). Scores range from 3 to 8. The median score is 7.0, the same as in the previous four years. The mean score is 6.4 which is lower than in the previous three years. This reflects fewer groups giving scores of 8 and above compared with previous years. Groups based in Western Canada have the highest median score (7), slightly higher than that of Central Canada (6). Consistent with the previous year’s groups in Atlantic Canada which gave a much lower rating for the investment climate (4). Bigger groups – those with 25-49 members and those with 50 or more members – gave higher scores, with medians of 8 and 7 respectively, compared with 3.5 by the smallest groups (fewer than 25 members). The score given by the smallest groups (3.5) is considerably lower than in 2018. Group managers were invited to add written comments to elaborate on the scores that they gave and comment on specific aspects of the investment environment. A variety of issues were raised but with no single theme dominating. Moreover, many of the issues that were raised were particular concerns of specific groups, in many cases related to their size and location, particularly those groups that are located outside of the major cities. The most frequently mentioned theme was “investor fatigue” re- lated to the extended length of time for the return of capital, which could be seven to ten years or longer. Some groups raised a broad- er concern about a lack of new investors and hence new capital.
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ANNUAL REPORT ON ANGEL INVESTING IN CANADA
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