VentureStart » Regional Investors

Hurting Angel Investing — Unintended Consequences …. or Not!

VStart — Mon, 29 Mar 2010 17:55:46 +0000

Senator Dodd’s current financial reform bill is designed to address financial reform and regulation of the big banks, including the “too big to fail” issue. But it may have unintended consequences by reducing the number of angel investors while at the same time putting regulatory hurdles in place. These hurdles will increase the time it takes (yes, even more!) for entrepreneurs to raise money, and put more bureaucracy in the way further discouraging angel investors.

There is a post on VentureBeat today that has more details and discussion. That post also has some good summary information on the SEC rules that relate to all entrepreneurs Read More »»

Davis Medical Diagnostic Company Raises Series A Financing

VStart — Wed, 03 Mar 2010 17:49:30 +0000

Gold Standard Diagnostics, Inc. of Davis has just raised a Series A round from private investors. The company started in 2007 and bootstrapped its way by generating revenue from the very beginning. The capital infusion will be used for a major product launch this spring. Investors included Roger Salquist and other angels.

Gold Standard will be participating in the SARTA’s Med Tech Showcase on March 30th at CSUS and has been able to raise its local profile with the assistance of SARTA’s MedStart, a sister program to our VentureStart.

Sacramento Angels Lead $2.3 Million Round For Reframe It

VStart — Thu, 14 Jan 2010 21:53:54 +0000

The Sacramento Angels, together with the Sierra Angels, led a multi-million dollar financing for San Francisco web annotation startup company, Reframe It. They were joined by other regional angel groups and individual angels. You can read the web press release here, and see another report of the financing gathered, in part, from the filing with the SEC of Form D here.

There are a couple of interesting points for entrepreneurs about this financing. First, you can see that to raise this kind of money from Angels, it takes a lead (the lead negotiates the deal terms, does the due diligence, and then actively seeks additional investors to fill the round; it takes time!). Second, Form D is a way for entrepreneurs to get some idea of the financing that, say, a competitor has previously obtained. It does not reveal much detail but it certainly gives some idea of how much has been raised.

You can search companies on the SEC web site here. Just enter the company name and look for Form D(s). You can see the Reframe It Form D here. To learn more about Form D go here.