Why we insist on an application form
I'm occasionally asked why we insist that anyone who wants to pitch to the Angel Academe investor network has to apply via an online form. Isn't this a bit, well, formal, a bit faceless? Aren't the investing choices we make based on relationships, reputation and networks rather than form-filling? Honestly, I get it, but let me walk you through why we roll this way.
The first reason is simply capacity. We’re a small team and we receive a lot of dealflow - much of it via email or LinkedIn or via introductions from someone who’s met someone who heard me speak 10 years ago and so on! So, as Harry Hill used to say: "Gotta have a system"! Applications via our form go straight into our CRM, so we can share details easily with the sector experts and lead angels from our network (AKA our “screeners” or “screening committee”).
Completed applications are at least somewhat on target - the form is pretty effective at screening out the all-male teams, the non-EIS eligible opportunities from overseas, the non-tech ones and the more crazy schemes and wheezes that we’re all spammed with. Crucially, applications contain the key pieces of information we and our angels specifically look for, but are often missing from decks.
We know the form contains some difficult questions. You may not want to give answers on traction and valuation without some context or discussion, but unless your stage, achievements and price aspirations are in our ballpark, then it’s pointless for all of us to carry on. (See our Investment Criteria for details of our ballpark)
The second reason is fairness and transparency. Of course we take recommendations and introductions from people in our network very seriously, especially if they’re investors with us or founders we’ve backed, but their companies will be asked to apply in exactly the same way as everyone else. Since Angel Academe's inception, Sarah and I have been powerfully aware of how insidious the influence of networks can be - old boys’ clubs at their very worst. Deals are passed around between people who’ve known each other for years and are biased consciously (or unconciously) in favour of other “people like them”.
Yes, it's absolutely essential for founders to build their networks and develop their “entrepreneur hustle”, but while some of the founders who apply to us have been around the block and may have a previous exit, many may not have their "little black book" yet. We all know that going to a top university, knowing VCs already or things like growing up in a middle-class household, or looking or speaking “right” can be a huge advantage but are far from accurate predictors of who’ll succeed as a founder. We want to give everyone the chance to get on our radar and would prefer founders invest their time in growing their startup rather than trying to find someone who knows us and can make an introduction.
To anyone who says that’s they’ve tried an application form but only get rubbish, that the best opportunities still come via their network, then we say you have to commit. Half-form, half-network doesn’t work. The research on the subject supports our approach. Our investors appreciate it. And the founders we back are happy to recommend us to other founders they rate.
As a last word: while we've designed the application form to extract what our screening team needs to know and to avoid any obvious bias, we really don’t want it to be too onerous for founders. We hope it will help them understand what early stage investors in general, and our angels in particular, are looking for. Let me know in the comments what you think about it; we're constantly iterating our process and are always keen to hear how we can improve it.
In the meantime, as ever, if you're a female founder who wants pitch to Angel Academe for investment, please visit the founders page on our website, where you'll find the application form, alongside our investment criteria. We look forward to hearing from you!