It’s that time once again to reflect on the prior year and make some resolutions for the next. In last year’s post, I suggested that you:
- Take a critical look back at portfolio companies that didn’t make it and try to ascertain what really went wrong.
- Expand your access to quality deal flow
- Become a mentor to a young entrepreneur
Here are a few of my suggested resolutions for 2017:
Have a plan. When we meet with entrepreneurs regarding a potential investment in their company, we usually want to know how they “plan” to build their business. As angels, we should go through the same process when deciding how we want to build our portfolio in the coming year. Do you prefer to invest as a solo angel, as part of an organized angel group or perhaps through a fund or online platform. Is there a specific focus or outcome that you want to accomplish through your investment in early stage companies? For me, changing the ratio by increasing the capital flowing to women entrepreneurs continues to be a pivotal part of my investment strategy. In my recent post – Angel Investing – Invest in Women, I have outlined how I hope to execute on this plan going forward.
Approach the process with a positive versus a negative lens. When I attend screenings run by the various angel groups with which I am involved, my goal is to try and find some exciting opportunities in which to invest as opposed to finding a reason to reject every investment opportunity presented. Several years ago, I attended a presentation by Sigal Barsade, a Wharton management professor who studies the influence of emotions on the workplace. She discussed the concept of “emotional contagion” and the influence it could have on group behavior – both positive and negative. I am not advocating not doing rigorous due diligence on investment opportunities, but rather focusing on finding great investment opportunities.
Get involved in the startup ecosytem. Whether through activities sponsored by startup accelerators, universities, or other agencies, get involved – it’s a great way to meet entrepreneurs as well as other early stage investors. You can act as a mentor, help judge a startup competition or participate on a panel addressing topics of importance to both entrepreneurs and investors.
HAPPY NEW YEAR!