2020 Report on Angel Investing In Canada

Central Canada’s dominance is a function not just of its greater number of investments but also on account of its higher mean size of investment which is consistently larger than in other regions ($628,000 compared with $237,000 in the West and $174,000 in Atlantic Canada).

TABLE 7 Regional Breakdown of Investments Per Million Population

Number of investments (per pop. million)

Amount Invested ($ million)

Region

Western Canada

3.42

0.81

Central Canada

11.76

7.39

Atlantic Canada

1.74

0.30

Canada

8.41

8.50

FIGURE 23 Mean Size of Investment By Region

2015

2016

2017

2018

2019

$628

0 100 200 300 400 500 600

$496

$494

$468

$419

$411

$386

$379

$326

$302

$282

$239

$237

$193

$174

$143

$128

$101

$75

$71

Western Canada

Central Canada

Atlantic Canada

Canada

Angel investment continues to be largely local and regional (Figure 24). In 2019, 14% of in- vestments were in the same city as the angel group was based and a further 52% were in the same province. However, comparison with pre- vious years indicates that this feature of angel investing is weakening, with a steady decline in

within-province investments year-on-year and a large increase in inter-provincial investments which accounted for 30% of total investments in 2019. International investments continue to be fairly insignificant (4%), which accounted for 30% of total investments in 2019.

FIGURE 24 Distance of Investee Companies From Angel Group Location

3%

5%

9%

13%

22%

17%

15%

28%

16%

22%

28%

32%

18%

24%

52%

44%

42%

42%

32%

0%

2015

2016

2017

2018

2019

Same City

Same Province

Rest of Canada

International

52

ANNUAL REPORT ON ANGEL INVESTING IN CANADA

Powered by