Co-Founder & CEO of Posiview Ventures CA Prajakta Shetye Deo shares insights on accessing Angel Funds for Business Growth.

1. Angels are from Mars,
Entrepreneurs from Venus!
(Accessing Angel Funds for Business Growth)
Co-Founder & CEO
Posiview Ventures
Email Id: prajakta@posiview.in

2. Angels are from Mars,
Entrepreneurs from Venus!
(Accessing Angel Funds for Business Growth)

3. I know I am an Entrepreneur’
but, for ‘heaven’s sake’
Tell me Who is an Angel?

4. Are you an Entrepreneur??? Take the test….
§ Is your product/service trying to solve any inefficiency or
trying to make living easier, better, safer?
§ Do you have a written Business Plan with Exit Options that’s
a go-to Document for you?
§ Do you know the important metrics in your business and do
you track them at least fortnightly?
§ Do you have an Elevator Pitch ready right now, should you
meet a VVIP right here?

5. Traders
Entrepreneur

6. Businesswoman
Entrepreneur

7. What is common among these people?
§ Ratan tata, Narayan Murthy, Mohadas Pai

8. Who is an Angel?
§ Experienced Entrepreneurs who have created successful enterprises and now with
good money at their disposal, are providing capital, support and mentorship to
upcoming entrepreneurs.
§ Ratan tata, Narayan Murthy, Mohadas Pai
§ Angel Funds have also been instituted by such funded promoters and serial
investors, where money is pooled from one or many angels
§ India Angel Network (IAN), Hyderabad Angels, Chennai Angels, Calcutta Angels,
Mumbai Angels are the popular angel networks
§ Numerous Seed Funds like Unitech, YourNest, Kalaari Capital, and so on…

9. Who is an Angel? – a relook!
Any person who has the ability and the willingness
to invest in an enterprise
for personal profit and gain!

10. Angel Funding, eh!? What’s that?!!?

11. Angel Funding
ü Equity or Quasi-Equity
ü From an single or a group of “Affluent” Investors
ü Usually accompanied with mentoring or support
ü Offering validated in the market or at least externally
ü Push is required to step up to the next level
ü Existing sources of funds have been tapped to an extent
ü Higher Market Visibility
ü Diversified Equity Base
ü Increased ability to raise Debt
ü Rising Top-line, Faster Growth, Higher Value

12. It’s all happening…. all around you!!!
Sources: InnoVen Capital Report, Times of India Report, “Entrepreneur”
47
69 70.3
113.7
FY15 FY16
Angel Investment in India
Deals Value (INR Crores)
B2C
67%
B2B
33%
ü 24 percent of angel-funded start-ups had a
female co-founder
ü 28 percent of the angel-backed founders
are serial entrepreneurs
Top B2B Sectors – IT, ITES & Marketing, Advertising
Top B2C Sectors – Consumer Internet, Food, e-commerce

13. Well, uh ok, but why the statement….. “Angels
are from Mars and Entrepreneurs from
Venus?”

14. Banks Vs Angels/VCs – Different Priorities!
Criteria Bank Funding VC/PE Funding
Track Record
Management
Past Financials
Product / Service
Corporate Governance
Market Size & Growth
High
Medium
High
Low
Low
Low
Low/Medium
High
Medium
High
High
High

15. The classic Entrepreneur-Angel/VC Disconnect
The
Entrepreneur
mind-set The Angel look-out
v “Value” assigned primarily to what
has been achieved till date
v Primarily assigns “Value” to what
is the potential in the future
v Focuses on Innovativeness of the
Offering
v Interested in not just
Innovativeness but also Scalabilty
v A small market share in a Large
Potential Market gives me big
numbers
v Ability to take Market Leadership
Position in a Particular Market
Segment
v Operates in a Long-term Time-
frame
v Has a Time-bound framework

16. and they may not speak the same language…

17. Hmm.. Interesting…
is there an “Angel Funds Starter Kit”???

18. Are you Prepared for Accepting Angel Funds?
Emotionally
• taking the proverbial “leap of faith”
• being ready for change – change in working style, change in approach….. at times
even in the way the business is run!
Legally
• protecting IPR
• putting your house in order – compliances, disclosures, agreements, etc.
• following best governance practices
Operationally
• putting in place processes, systems and procedures
• strengthening the Management Team, Board of Directors, Advisory Board
Financially
• a “working, updated” Business Plan
• taking steps to increase the valuation of the enterprise

19. The Angel Funding Process
Preparing
Business
Plan &
Valuation
Statement
Pitch to
Potential
Angels
Deal Stage
Negotiations
Term Sheet
Due-
Diligence &
CPs
Fulfilment
Closing

20. Post Funding
§ Keep your Promises, rather “over-deliver”
§ Keeping the Communication channels open
§ Managing Investor Expectations

21. Some Pitfalls that can be avoided
§ Accepting Angel Funds before external validation
§ Raising Smaller Round of Angel Funds that gets exhausted soon
§ Raising Money from Friends & Family without proper documentation or setting
proper expectations
Common Misconceptions
ü Angel Funds are long-term equity investment in the Company
ü Taking Angel Funding will help me raise Second Round Funds easily

22. That’s all, folks!!!

23. Thank you
For any Queries on this Investment Opportunity, please get in
touch with :-
CA Prajakta Shetye Deo CA Vinit Vyankatesh Deo
Cell +91 9822542044 Cell +91 89757 61062
prajakta@posiview.in vinit@posiview.in
!
Posiview Capital Advisors LLP
202, Chintamani Pride Building,
Near City Pride, Kothrud, Pune 411038
Views expressed in this presentation are person and may not reflect those of
the company. This document does not constitute professional advice.