By: Marianne Hudson, ACA Executive Director

This post originally appeared on Forbes.com

On May 16 when new “Regulation Crowdfunding” took effect, all American citizens received a gift that angel investors have enjoyed for years—they can buy stock in startups. But behind all of the excitement are a few surprises both investors and the companies raising money might not realize. These curveballs may mean that equity crowdfunding, won’t deliver the financial impact that Congress intended for startups when it passed the JOBS Act four years ago. 

By: Marianne Hudson, ACA Executive Director

Ever wonder how your investment activity and background compares to other angels in the US?  Take The American Angel survey to put in your information and get early access to detailed reports to learn more. 

ACA is partnering with Wharton Entrepreneurship to develop the first ever large dataset of US angel investors to understand who angels are demographically, how they became angel investors, how angels make decisions, and what level and type of investment activity they have.  The project should benefit angels as an asset class as it brings more visibility to angels, supports a stronger early-stage investing environment, and lead to better public policies to support angel investing and innovative startups.  It just might refute a lot of assumptions about angel investors that are incorrect.

By Craig Mullett - President of Branison Group, a corporate finance firm based in Connecticut, USA. Craig is an active angel investor as a director of the Angel Investor Forum. He is also a founder of AngelHub, Africa's first angel group and helped in establishing Trident Angels, the first Caribbean angel group. 

(Editor’s Note:  We liked Craig’s notes from the ACA Summit so much that we thought other ACA members and investors would also get value from them.)

Smart money
Kay Koplovitz (USA Network/ Springboard Enterprises)

  • Be open to serendipitous moments where entrepreneurial solutions may be uncovered
  • Angels need to network where there are innovation pipelines to stay close to cutting edge startups 
  • Plan how your capital will be able to move startups "up the escalator" to the next capital raise and ultimately to exit

By: Dave Berkus, Dave Berkus, ”Super angel” investor, tech futurist  

--A model for angel-led investment deals and syndication--

Congratulations to Cognition Therapeutics, Inc. (CogRx), a Pennsylvania life sciences company, which ACA recognized as the outstanding angel-financed company for 2016, when they received the Luis Villalobos Award. First among twenty-five finalists, a committee of experienced angel investors selected the firm above its competitors for numerous reasons.

By: Ham Lord, Managing Director of Launchpad Venture Group and Co-Founder of Seraf-investor.com

This post originally appeared on Seraf-investor.com

Over the past few years, there has been much talk about the importance of investing both financial and human capital into the rapidly expanding entrepreneurial ecosystem. From our perspective, human capital is as important as financial capital in driving the long term success of startup companies. So how do we go about the job of applying human capital to foster this success? 

By: Marianne Hudson, ACA Executive Director

Victory! With lots of work by ACA and many leaders, the House passed the HALOS Act, which would ensure companies presenting in demo days would not have tripped the general solicitation trigger and therefore be required to take extra measures to verify all of their investors are accredited.  This is something the entire startup ecosystem – investors, entrepreneurs, accelerators, incubators, universities and more - cares about.  We will now concentrate our efforts on the Senate to make the bill a reality. The bill was approved by a 325-89 vote, meaning it was relatively bi-partisan.

By Maria Contreras-Sweet, SBA Administrator

What creates two out of three net new American jobs; produces close to half of our nation’s goods and services (nonfarm private GDP); and can be found, coast to coast, in every small town, big city and rural enclave?

The 28 million small businesses that propel our economy forward and define our national entrepreneurial spirit.

To be American is to have the freedom to innovate, take risks, create, transform and put in the hard work that has led to the successes – and failures – that define human progress. From May 1-6, the U.S. Small Business Administration (SBA) will recognize and honor the critical and  life altering contributions of America’s moms and pops, manufacturing enterprises, Main Street retailers and entrepreneurs during National Small Business Week.

While I was doing some research about some of our ACA Summit speakers, I found that several have penned some really interesting pieces.  Angels and entrepreneurs can learn a lot about investing trends and key trends and issues in early stage investing.  Here is an incomplete list of articles to check out:

By A.J. Watson of Fundify, LLC in Austin, TX.  This article originally appeared on Medium.com

Summary: The majority of angel investments are made by investors with no prior industry experience. This is a problem since one of the best indicators of investment success is the investor’s past experience. If you are an angel investor, you should seek to invest in industries where you have experience OR invest alongside investors with prior experience. I believe so strongly in this fact that I’m helping build Fundify.com, a community of industry experts, to help.

By: Christopher Mirabile, ACA Chair, Launchpad Venture Group, and co-founder of Seraf-investor.com

This post originally appeared on Seraf-investor.com

In the first article in this deal terms series, we observed that the concepts covered in a typical term sheet can be grouped into four main categories of investor concerns: Deal Economics; Investor Rights/Protection; Governance, Management & Control; and Exits/Liquidity. In the second article in this deal terms series we gave an overview and mapping of all of the key term sheet clauses used by investors to address the concerns in each category. In the third article we dug deeper into the provisions relating to Deal Economics, in the fourth Investor Rights/Protection, and in this article we are going to tackle the Governance, Management and Control category.