We’ve talked a lot lately about how the latest events tie into the startup world. But today, I want to go back to basics for a few minutes.
It’s really easy to get swept up in complicated investing strategies that dissect every detail of each individual deal – especially when you have limited capital to invest each year.
I completely understand the impulse to make sure every last detail is perfect. But sometimes, investors who work this way lose the forest for the trees.
The thing is, startup success just isn’t as formulaic as that method would have one believe. You can parse every last line of a company’s financials… consult all the industry experts you know… even spend countless hours compiling data on the competitive marketplace.
But at the end of the day, some of the startups you were most confident about will fail. And some of the ones you thought you might regret will take off.
That’s because a startup isn’t as clean and tidy as a list or a chart or a report. I think of startups as living, breathing things that need the perfect combination of environmental factors to thrive. And even then, just like with living things, everything can go south with no apparent explanation at all.
This unpredictability is exactly why I rate deal flow as the most important thing an angel investor can have.
By spreading out your risk among a large number of deals, you’re giving yourself a much better chance of hitting a big winner.
Over the past week, you’ve heard a lot about a startup I have my eye on.
You already know that this company’s founder previously co-founded a business that’s now worth almost $50 billion.
And you know that investing in this startup would allow you to benefit from the success of hundreds of other deals.
But what I haven’t told you yet is that each and every one of this company’s investors can take advantage of multiple other perks… perks that could take your deal flow from “low-level” to “pro-level.”
Investors in this startup will immediately be added to their exclusive contact list… one that receives early warnings and notifications each time this startup adds a new deal to its portfolio. That means you could be one of the first people to know when a new startup goes looking for funding. Investors are also privy to special deal terms that nobody else gets.
Remember, if you invested in this startup, you’d already benefit from any of its portfolio’s successes. But if you wanted to, you could also double down and invest into one of its portfolio companies directly. The beautiful thing about this strategy is that you get to spread out your risk and cherry-pick your favorites too. And if you do, this startup’s special investor terms would ensure that you got more equity for your dollar than you’d get otherwise.
I’ll be frank – in the professional angel investing world, terms like this are virtually unheard of. Private equity deals are largely a cut-and-dried affair. But I think this way is the future – because it does the most to benefit investors and entrepreneurs alike.
The startup I’m talking about is still accepting investors… but only for six more days. Click here to learn more – before the opportunity is gone forever.
Until next time,
2 responses to “The Hidden “Investor Perks” You Need to Know About”
March 05 2020