2. The Truth About Angels Informal private investor with smart money (finance+expertise) Informal private investor with smart money (finance+expertise) Investment 30 000 - 300 000 euro Investment 30 000 - 300 000 euro Willing to share their managerial skills. Willing to share their managerial skills. Often prefer to invest in their region of residence Often prefer to invest in their region of residence Seeking profit, patient investors. 3 to 4 years. 30 % return. Seeking profit, patient investors. 3 to 4 years. 30 % return.

3. BA FINANCING CAPITAL NEEDS TIME SEEDSTART-UPEARLY GROWTHSUSTAINED GROWTH HIGH RISK LOW RISK Friends, Family, Fools Business Angels Formal Venture Capital IPO GROWTH

5. Some Data on US 350.000 Angels350.000 Angels Invest aprox: $30 - $40 Billion every year over 50.000 ventures.Invest aprox: $30 - $40 Billion every year over 50.000 ventures. One investment around $100.000 to $2 million.One investment around $100.000 to $2 million. Venture Capital Funds invested in 2001: $36.5 Billion.Venture Capital Funds invested in 2001: $36.5 Billion. 3.928 Deals → 9.3 million per deal.3.928 Deals → 9.3 million per deal. Center for Venture Research – University of New Hampshire

6. Some data on UK 346 BA registered 346 BA registered Total invested $30 Million.Total invested $30 Million. BA market has no falled after the « Bubble » as VC did.BA market has no falled after the « Bubble » as VC did. Report on business angel investment activity 2000/2001. Professor Colin Mason. Strathclyde University

7. BUSINESS ANGEL NETWORKS Private or semi-public bodies whose aim is to match entrepreneurs looking for equity with Business Angels Private or semi-public bodies whose aim is to match entrepreneurs looking for equity with Business Angels Ban can operate localy, regionaly, or at national level. They need a critical mass in terms of good project and angels. Ban can operate localy, regionaly, or at national level. They need a critical mass in terms of good project and angels. Services provided by bans. Creating awareness; identification BA; Assistance Entrep; Matching. Services provided by bans. Creating awareness; identification BA; Assistance Entrep; Matching. Tools of BANS: Organisation investments clubs, forums; Information bulletins, magazines; Internet, database; Personal introductions. Tools of BANS: Organisation investments clubs, forums; Information bulletins, magazines; Internet, database; Personal introductions.

8. FUNDING OF BANS Matching is only the visible part of Ban activities, lot of the time devoted to make the entrepreneur investment ready and to disseminate the concept in the region. Matching is only the visible part of Ban activities, lot of the time devoted to make the entrepreneur investment ready and to disseminate the concept in the region. Banco Ambrosiano (I)-Deutsche Bank, Venture Capital Association (D). DTI + banks (UK) Banco Ambrosiano (I)-Deutsche Bank, Venture Capital Association (D). DTI + banks (UK) Fees charged. Fees charged. Need for public support. Need for public support.

9. BANS BY COUNTRY

10. The Future of BA Market Syndicates & Angels alliances Electronic Networks Integrated Finance – Incubators/ Spin-offs, Universities/ Industrial Parks.

11. Thank you for your attention Monica REINO EUROPEAN BUSINESS ANGEL NETWORK Avenue des Arts 12, bte 7 B- 1210 Brussels T.: + 32 (0)2 218 43 13 F.: +32 (0)2 218 45 83 info@eban.orgwww.eban.org