We get asked all the time to sign Nondisclosure Agreements (NDA) by entrepreneurs. Simply put, we don’t do it except under very rare circumstances surrounding protecting IP. If unfiled IP is required to be disclosed, only then there is an argument for an NDA. It would be almost impossible to sign an NDA as an organization given the size, depth, and breadth of our network. For ACG, the problem is we are an angel group across 8 cities and hundreds of people. We must share funding applications with all to review, the entrepreneur will pitch to one of our funds or groups, which will be followed by ..read more

Eric Dobson We see hundreds of deals per year and there are many commonalities in those that do not receive funding. Most often, it is because they are not prepared to begin serious diligence. Some honestly, but naively, believe the process is more emotional that rational. Others simply have not done their homework and are looking for free consulting. At any rate, there are common questions that ALL entrepreneurs should be prepared to answer upon request if they are serious about seeking, accepting, and becoming a good steward of your capital. There are likely many questions that will be asked ..read more

Eric Dobson Over the years of transitioning from an entrepreneur to an investor, I realized there is a great communication divide between entrepreneurs and investors. I was an entrepreneur starting, running, and raising capital for science and tech ventures for 11 years. When I was raising capital, I would hear, “we don’t like your valuation.” What I did not realize is that really meant, “I don’t think you have the right product-market fit to return my capital.” In retrospect, after working with investors for the last seven years, it seems obvious! But, that is the type of information investor ..read more

Eric Dobson There exists a “Great Communications Divide.” The central premise of the discussion is the belief that entrepreneurs and investors are constantly misunderstanding each other. Entrepreneurs are passionate and want to succeed. Investors want to invest in and work with successful, exciting people and companies. But, the two are not speaking the same language. So, investors are left with the impression that entrepreneurs are unfocused dreamers and entrepreneurs are left with the impression that investors are condescending and sanctimonious. In the next few posts, we are going to explor ..read more

Eric Dobson To the Investor: Perhaps the most important analysis that must be performed in the diligence process is analyzing the financial projections (P&L) of a potential investment. We have all heard about public company analysts and the ratios they use to evaluate a company’s performance (PE ratio, etc.). In private equity, we have little or no history to evaluate and the ratios used for public company analysis are almost meaningless. So what do we do? We ask for five years of projections in the future. We all know that projections of a startup five years in the future are pure fantasy ..read more

Eric Dobson Where to start when you meet a company requesting investment can be a difficult question. We all want to help entrepreneurs be better, but we also have to be mindful of our time and the fact that it is easy to become overwhelmed with reviewing ventures if you are not careful. Entrepreneurs are needy creatures. We love them and they serve a critical place in our economy, but they will take as long as you give. So, we have developed some simple “rules of thumb” (use password: ACGJan2019) to help separate the wheat from the chafe quickly. We want to be respectful of the entrepreneur’s ..read more

By Eric Dobson To the Investors: Diligence is not a formality. It is not to be skipped. It is not to be glossed over with trust of a charismatic entrepreneur. As we say, “In God we trust; everyone else goes through diligence!” The reason is simple. Studies show that even 20 hours of diligence on a venture increases your odds of success six-fold! (Forbes: How Much Diligence does an Angel Really Need to Do?. Let’s face it. Diligence can be time consuming. But, it can be a lot of fun too. Getting to know an entrepreneur, a team of dedicated individuals, understanding the insider’s perspective on ..read more

FOR IMMEDIATE RELEASE April 5, 2019 Contact: Derren Burrell derren@veteranventures.us Veteran Ventures Capital (VVC) Veteran Fund I Launches and Makes First Investment Knoxville, TN; April 5, 2019 – VVC Veteran Fund I (https://www.veteranventures.us/) officially broke escrow and has made its first investment in HAVENLock, Inc. of Nashville, TN (www.havenlock.com).   “This is a great day for both VVC Veteran Fund I and veterans across the country,” said Derren Burrell, the Founder.  “We are proud to be a strategic partner of Veteran Fund I as they officially launch” added Eric Do ..read more

Over the now almost 12 year storied history of Angel Capital Group, we have found key information is indicative of a team ready to use our capital to buy revenue, make use of our network and expertise, and to become business partners. These are key characteristics we look for because we have learned these lessons the hard way. Our Phase II application is designed to get to key questions and to *test* the entrepreneur. Entrepreneurs who embrace the system generally do well. They are prepared with the right information (e.g. they have done their homework and understand how this works). They are ..read more

Nearly 40 entrepreneurs, owners of startup companies, and several service providers who support them gathered at the West Virginia Regional Technology Park on September 19 to learn how angel investors select – and de-select – their investments. The workshop, entitled, Pitching Angel Investors: What to Expect and How to Prepare, was led by Eric Dobson, CEO of Angel Capital Group (ACG), and Scott Ewing, COO of ACG. Eric Dobson, CEO of Angel Capital Group, shares insights at TechConnectWV’s recent “Pitching Angel Investors: What to Expect and How to Prepare” workshop. ACG is a Nashville, Tennesse ..read more