To submit your business
proposal to C-Cap's angel members, you must create an Executive
Summary of your business in the format specified by C-Cap. See the
box to the left for information on downloading the Executive Summary
Guidelines and the Application form. C-Cap's staff will review the
executive summaries for format requirements, and will distribute
conforming executive summaries to its angel members. C-Cap does
not evaluate the merits of business proposals, and does not recommend
businesses to angels. Angels make their own investment decisions.
If any angels are interested
in pursuing a business proposal after reviewing an executive summary,
C-Cap will contact the entrepreneur and arrange the next step. Angels
may want to review a complete business plan if one exists, and/or
meet with the entrepreneur. If any angels who are members of Queen
City Angels are interested, the entrepreneur is usually invited
to make a presentation to a Queen City Angels meeting as part of
Angels are typically
looking for investments that will yield a substantial compounded
annual return. They also generally seek companies that can use their
investment to move to the next level of financing, usually venture
capital financing. So they are looking for "growth" companies.
Many of their investments will be in technology companies, but they
normally look at any company that can achieve high growth rates
and profitability, with a reasonable exit strategy. Angels' investment
horizons are usually longer than venture capital firms', in the
range of five to seven years. But they do expect an exit strategy
to be feasible, whether through a public offering, a sale of the
business or otherwise.
Camps and Networking
C-Cap will also be conducting
an Entrepreneur Boot Camp - a basic course
in how to create a business that will attract financing and achieve
success - and other educational programs. The Circuit also conducts
numerous networking and educational programs each month that benefit
C-Cap has relationships
with the entrepreneurship programs and other resources at local
universities, and with local technology companies. C-Cap also receives
resumes of experienced executives and other personnel seeking new
positions. C-Cap works with startups to make these resources available.
The QCA First Funds I and II are small investment funds which was established to help fledgling
companies reach important milestones in their development and attract
additional investment from conventional sources. Members of the
Queen City Angels, with support from the Tri-State Growth Capital
Fund, provide management and oversight of the Funds, as well as mentoring
and guidance to the portfolio companies. QCA First Fund I is now fully invested, and QCA First Fund II is currently investing actively.
The typical investments
are in the $50,000-$100,000 range. This investment will typically
be the first investment outside "friends, family and founder"
moneys, and is made at an earlier stage than the Queen City Angels
would make an investment outside the First Funds. The company should
be able to use the First Fund's investment to achieve significant
milestones that will make it an attractive investment to the Queen
City Angels members or other conventional equity investors.
Technology will normally
be the driving force of the company's growth strategy. The company
typically will qualify for the Ohio Technology Investment Tax Credit
(see the box on the left).
Most QCA First Fund II investments
will be made in Ohio companies, although the First Fund may consider
compelling investments in other locales.
Visit the QCA
First Fund web site for more information, and instructions on
how to apply for financing.