Knowledge about angel investments and how they can support innovative projects are key elements for the development of the startup ecosystem in Bulgaria: this is the main conclusion after the specialized workshop for angel investors in Bulgaria. The event, called Foundations & Secrets of Angel Investing, has been organized by MOVE.BG and CEO Angels Club in partnership with pan-European network Early Stage Investing Launchpad (ESIL). Anne Lebreton-Wolf, one of the most successful angel investors in Europe, was the main lector during the one-day workshop on April 17.
Luigi Amati, chairman and CEO of Metagroup, gave a welcoming speech to the investors saying that the business angels need educational initiatives to know each other and to become a strong and active community.
“Angel investment culture has been growing steadily in recent years across Europe, thanks to initiatives that connect investors. Therefore, we need organizations that are constantly in support of the startup ecosystem, people who believe in the idea of angel investments and attract more and more investors to become business angels,” Mr. Amati told attendees.
The participants in the workshop were educated with the European and world practices for investing in startups. They understood how to support innovative firms and what the successful paths towards sustainable business models are. During the first part of the event, Mrs. Lebreton-Wolf explained in depth the features of the investment cycle: how to develop a successful strategy for investing in startups, how to choose in which companies to invest, how to manage the investment, and how to get out of it.
During the second part, the workshop was focused on the key features of making a deal. Angel investors need to understand the difference between matchmaking and dealmaking, Ms. Lebreton-Wolf explained: the first process concerns the linking of investors and entrepreneurs, while the second represents the concretization of mutual interest into an investment.
A good deal combines:
- both sides agree and feel good;
- optimal financial engineering, such as co-investments and other sources;
- a valuation agreement;
- incentives linked to the business plan;
- exit routes.
“I really encourage you to jump into the startup ecosystem and to help those firms to become bigger companies. To be an angel investor is an interesting position because you are dealing with the business initiatives at their begging - a period when firms are eager to learn because they are curious how to rise,” Ms.Lebreton-Wolf noted.
EDIT: Economic Development via Education and Technology
MOVE.BG works systematically to enhance the culture and knowledge of angel investment in Bulgaria, and that workshop is the latest initiative of MOVE.BG’s EDIT program in support of the innovative economy, Sasha Bezuhanova, founder and chairwoman of the organization’s Board, said during the event.
“Angel investment culture is very young in Bulgaria - to support a financial startup company requires systematic knowledge. It is an important task to support early-stage ventures into their path to grow and get established on international markets,” Mrs. Bezuhanova, who is the local leader of ESIL for Bulgaria, told attendees.
“As part of our regular work to support the innovation ecosystem and startups in Bulgaria, MOVE.BG is organizing a series of educational forums for angel investors. We believe that this will contribute to expanding motivation and investment resources during that highly risky stage in the development of a company.”
MOVE.BG and CEO Angels Club will organize similar educational initiatives for angel investors in the months ahead, Milen Ivanov, founder and chairman of the Board of Directors of CEO Angels Club, explained.
“I want to thank Sasha and MOVE.BG for their proposal to co-organize that event as part of our mission to educate the community. This is a fascinating subject and very valuable area in terms of the investment cycle and ecosystem, so we need to inspire more people to become angel investors and help them understand what means to be a business angel,” Mr. Ivanov said.
Ms. Bezuhanova was speaking during the event in the capital Sofia.
The EDIT program conducts the exclusive annual study of the startup ecosystem in Bulgaria called "Innovation Ship." The program also organizes a series of specialized webinars that provide key insights for the development of digital businesses.
