Ethics

Description

Through the Ryerson Angel Network (RAN) group, a missing link in the Angel investment due diligence chain has been identified. As it stands, most literature on the topic focuses solely on the financial aspects of this vital stage in the investment process. This leaves the “human” side of the deal, as subjective as it may be, out of the best practices picture. This encompasses aspect such as, management ethics, efficacy and overall firm governance.

Initially, as with all business dealings, one must size up the opposing party. Many investors have developed their own rituals to do so, whether it is based on a hand shake, eye contact or even the texture and feel of a business card. From speaking with the Angel community through our interviews it was suggested a number of times that investors do not find out a candidates values, integrity and true abilities until after an investment has been made. It was also noted from the Entrepreneurs’ or investees side that the true cost of receiving an investment is not understood until it has been made.

Therefore, the goal of this Ethics project was to develop tool with which Angel Investors can efficiently “Assess an Angel Investment Candidate” as the practicum is titled. To accomplish this we have developed a process covering everything from pointers on how to handle ‘Face to Face interviews’, n how to best conduct ‘Candidate Background Checks’, and finally a template version of a proprietary ‘Life Long Plan’ in which the Angel investor can sit down with their candidate to better understand their goals and values in order to decide whether or not they correlate with their own.

Impact
30+ Angel Investors and Entrepreneurs Interviewed
Intent of garnering Canada-wide attention

Program Sponsors & Partners
- National Angel Capital Organization (NACO)
- Ryerson Entrepreneur Institute (REI)
- Ryerson Angel Network (RAN)

Contact Us
www.ryersonangelnetwork.com

General Inquiries-
Dan Goldstein
VP, Ryerson Angel Network
dan (at) ryersonangelnetwork.com