How we’re creating a pipeline of women angel investors
March 23rd, 2021
This article was written by Olivia Standish, a learning experience leader at Future Capital
Earlier this month Future Capital completed a 3-part initiative with the goal of enabling a new cohort of Canadian women angel investors into the technology and innovation industry. Thanks to the support of BDC Capital’s Women in Technology Venture Fund, 35 women from the Prairies & the Yukon had the opportunity to further their knowledge on angel investing fundamentals, learn how to invest in private early stage companies, and join Future Capital’s investor network.
In our report published last Fall, Future of Capital: Women, we outlined what we believe to be the most significant barriers to entry for women in angel investing and venture capital. In addition, we provided a short list of recommendations and principles for creating new cohorts of women angel investors, based on our extensive research and hands-on experience. Here’s how we put these into practice through the Foundations in Startup Investing WIT Series (“WIT Series”):
1. Access to education
We know that, on average, women currently take 8-12+ months to make their first angel investment. We also know that different women require different levels of education and support to supplement this journey. Our micro-cohorts are designed to accelerate this process by dropping participants into an environment that provides support through coaching, exposure to founders who are actively raising and peer-driven learning.
Through the WIT Series, 35 women from Manitoba, Saskatchewan and Yukon took part in Foundations in Startup Investing: a five-day intensive education program designed to develop investment acumen and build confidence. The course curriculum was curated to support participants to:
Develop and refine their investment thesis;
Create a personal strategy for startup investing;
Understand the process and mechanics behind early-stage investing, and
Use an angel/VC lens to analyse startups.
Each of these sessions culminated in an Investment Live Lab where emerging angel investors had the opportunity to engage directly with founders raising capital and apply the concepts delivered within the session.
After completing the Foundations in Startup Investing sessions, learners access online resources and on-demand coaching whilst they navigate the investment process and prepare to reach their investment goals. Our aim with these sessions is to meet emerging angel investors where they’re at and provide a framework for them to take the next step towards supporting the growth of businesses that they care about.
2. Deal flow
Women want access to more deal-flow and opportunities to gain experience with startup founders. Current structures for accessing deal-flow and community do not work for all women. One of the key advantages that we aim to create for our learners is providing access to a curated, vetted list of seed, pre-seed and early-stage ventures. By bringing our community to the deals that we’re actively reviewing, we are able to create a collaborative venture assessment process that engages all of the relevant stakeholders while creating a meaningful learning opportunity for program participants.
Hence, we’ve created a new channel for deal flow that provides women angel investors with direct access to deals and offer founders access to a more diverse set of investors, advisors and mentors.
“Foundations in Startup Investing was a great primer for me to gain the knowledge and connections, with vetted start-up founders, to write my first angel cheque. As a founder, I’ve seen this process from the other side of the table, but the session provided me with the environment, tools and ongoing support I needed to chart my own path as an investor.”
- Melanie Derwin, WIT Series Participant.
Bridging the gap between emerging women angel investors and great companies doesn’t end in the sessions. Every participant that completes Foundations in Startup Investing joins our network of angel investors. We leverage the work that’s been done in the sessions developing and/or refining a thesis for startup investing to connect the right investors to the right opportunities at the right time.
3. Network
There is no one-size-fits-all solution for developing networks for underrepresented investors, mentors and advisors in tech. Engaging with unique groups in different regions requires a unique approach that understands the relevant characteristics of the ecosystem you’re in.
The mandate of BDC Capital’s Women in Technology Venture Fund is to foster a robust network to support and create great leaders across Canada. Their commitment to reaching women angel investors across the Prairies and the Yukon not only extends the entry point of their pipeline, but has a ripple effect across the communities and networks that weave together to create a new collective of emerging startup angel investors.
WIT Series participants join a diverse network of new angel investors connected by sector interests and preferred investment types. Organized into cohorts by region, the WIT Series provided a unique opportunity to form new local investor networks of women. New groups of women angel investors are building on the momentum of ecosystem leaders in Manitoba, Saskatchewan and Yukon, and collaborating with them to further support the growth of early stage companies in their region.
4. Building on momentum
In the Prairies and the Yukon, startup ecosystem leaders are creating new pools of capital and new networks of investors. They are collaborating with Future Capital on initiatives like the WIT Series to increase the numbers of women angels in the industry. Meet our partners who are leading the charge:
Manitoba
Joelle Foster, CEO of North Forge Technology Exchange, is creating new pools of capital whilst expanding deal flow in Manitoba. They recently launched the North Forge Angel Network in collaboration with NACO. More information here.
Saskatchewan
Kaitlin Sherven is Innovation Saskatchewan’s Lead on ecosystem development and women in tech programming, including initiatives like the WIT Series and Founders Table.
Yukon
Lauren Manekin Beille, Manager of Innovation and Entrepreneurship at Yukon University & Lana Selbee, Executive Director of Yukonstruct Society, are creating interest and participation in a growing investment culture in the territory. In February - March 2021, Yukon University collaborated with Yukonstruct Society, and Spring Activator to deliver a multi-stage Investment Readiness Training program for startups and aspiring investors. More information here.
We’re on a mission to directly impact the Canadian tech ecosystem by giving aspiring women angels their start in early-stage startup investing. Apply to a Foundations in Startup Investing session and join the movement.
A special thank you to: Michelle Scarborough, Cynthia van Sundert, Kristina Bergman, Mari Mathews, Keith Ippel, Janice Cheam, Ariel Gough, Edwina Govindsamy, Jenelle Sobey, and Sheenah Rogers-Pfeiffer.
