business angels in switzerland

http://www.a3angels.ch

Business Angels in Suisse Romande Claude Florin, President A3 Angels

1 Claude Florin [email protected]


• Overview of Business Angel networks in Switzerland and their impact on the investment in early-stage technology companies

• A look at case studies of startups supported by A3 Angels with investments, mentoring, Alumni network.

• Suggestion of events and trainings sponsored by Alumni networks

• Presented at panel by INSEAD and EPFL alumni, April 2013.

Business angels in Suisse Romande



1 2 3 4 European Innovation Scoreboard 2013 INSEAD Global Innovation Index 2012

WEF World Competitiveness Index 2010-2011

Leveraging Swiss Innovation leadership

19/03/2013 3 Claude Florin [email protected]


CTI coaching

148

130

143 141

160

171

22 25 25 24 26 27

88 91 92 96 97 100

0

20

40

60

80

100

120

140

160

180

2007

2008

2009

2010

2011

2012

num

ber o

f com

pani

es

year

registrations, admissions, labels

Domain

Information, telecom, media

Biotech & Life sciences

Medtech

Engineering

Interdisciplinary

Cleantech

Micro- Nanotech

Technology startups : >150 / year (~50 in Romandie)

Source: CTI, Switzerland - Q1 2013 : 24-17-2 West : 11-6-2 Source: CTI Phase 3 – Q1 2013 N=99



Seed funding ~ mountain guide spirit Every year CHF 50M from BAs

• Business Angels evolution – More professional – Co-investment with public funds

(FIT, Fongit, ZKB) and regional VCs – Networked (CTI-Invest, SECA)

Grants FFF

Angels Crowd funding

Venture Capital

Banks, Customers

Rev

enue

/ E

BIT

DA

BA Ns syndicates

> CHF 50M



Seed investments in Switzerland

0.0

50.0

100.0

150.0

200.0

250.0

300.0

2007 2008 2009 2010 2011 2013 VC start-up VC seed Business Angels

-50%

(M CHF)

Source: EVCA/PEREP Analytics, conversion €=1.22 CHF / EBAN 2007-2008 / CTI for 2013, A3 Angels 2009-2012

+40%

Q1-Q3

50M 7M


Networks and members • Networks

• > 300 investors • > CHF 50M / year • >40 investments • Multidisciplinary

Investissement per capita CHF / hab

0

5

10

15

€ M/ M # deals/ M

Swiss Business Angels

Source : A3 Angels ; Nelson Gray, EBAN


http://www.cti-invest.ch/Members/MembersContainer/Verve-Capital-Partners.aspx�


A3 Angels Members >45, mentors +

investors

Structure Association alumni mentoring et investments seed

Meetings /year

10 diners, seed night, trainings

# Evaluations

40 startups / year

Portfolio 21 (7 + 16 mentoring), > 1M CHF

Notes Founded 2009

BAS

Overview of Business Angels networks


Source: A3 Angels, web, in trainings indicatives

Members 58 (29 Suisse Romande)

Structure Association, volunteers, 2 directors

Meetings/year

10 diners

# Evaluations

30 /year

Portfolio 34

Notes Founded 1997, 2007 en Romandie


Go Beyond Members est. 50 CH (100 total)

Structure Company, 5 FTE, 5-10 groups, trainings, group leaders

Meetings/year

3 x 6 in Switzerland + web

# Evaluations

15/year + web

Portfolio 20 startups

Notes Cross border (I, FR, UK, USA) + social impact investing

Investiere



Members 2000 web subscribers

Structure 3 Directors, crowdfunding platform, 11% success fee, quality due diligence

Meetings /year

Online deal presentation

# Evaluations

8-15/year

Portfolio 13 startups, 4.2 MCHF

Notes Bureau GE, ZH



Germany Switzerland Equity-based • Investiere (Verve Capital)

• Founded 2010, 14 investments CHF 5M

• C-Crowd – Founded 2011, 2

investments, CHF 0.7M

Project-based (examples) – wemakeit.ch – 100-days.net

Crowdfunding


0 1 2 3 4 5 6

>5M€ - 58 investments

Total Seedmatch Innovestment 8 other

Source: LMU Forschungsdatenbank Crowedinvesting


Capital proximité Members 800 investors, Club des

repreneurs 60% HNWI, 15% industry, 25% management

Structure Association, 2 managers, 12 business advisors, 6% fee

Meetings /year

10 startups

# Evaluations

100 , mostly SMEs

Portfolio >120 operations

Notes Founded 1995

CTI-Invest



Members 77

Structure Association, BA and VCs, pitch organization

Meetings /year

5 + CEO day

# Evaluations

60 / an

Portfolio 100, 350 M CHF from all investors

Notes Training program, lunches / industry roundtables, CEO day



Mentors Seed investors Profile Experienced

entrepreneurs Senior managers 50+ CXOs in SMEs

40-50+ professionals, career transitions

Investment 5- 10 days/year Accredited investor member of 1-2 Clubs

>10’000 /year for 3 years, in team 5 days/year

Motivation Revenue Mentoring, support to young entrepreneurs Social network Regional or technology interest

Network and advice in area of focus

Revenue Learning experience Technology interest

Typical profile of Business Angels



Hands-on evaluation of opportunities



Building a portfolio across technologies Examples

Swiss startups

Biotech & Life sciences

Medtech

Information, telecom, media

Manufacturing

Cleantech

Interdisciplinary

Finance

Biotech, Medtech

Intraining, telecom, media

Cleantech Interdisci-plinary

Source: Web

Source: EBAN, quoted by OECD 2012

EU startups


http://www.arimaz.com/�

http://www.gramitech.ch/�

http://www.secu4.com/�

http://www.smallrivers.com/�

http://www.viroblock.com/�

http://www.gramitech.ch/�

http://www.ithetis.com/�

http://www.lemoptix.com/�

http://azbooka.ch/�

http://www.vivamea.com/�

http://www.abionic.com/�

http://www.domo-safety.com/�

http://www.sophiagenetics.com/�


Your health bank

• Intraining services – Generation, analysis, and

secure, storage of gene sequence data.

– Easy access and clear, interpretable visualization.

• Pre-symptomatic surveillance – breast and colorectal

cancers, – cardiovascular diseases


Source : A3 Angels – voir le site web de l’entreprise pour intrainings complètes


Domosafety

• Home safety systems for elderly people – Prevention of risks

and accidents – Social care services

management – Familly communication

services



Implantable drug delivery

• Implantable wirelessly-controlled pump

• Dedicated to preclinical research – No injections, – Dosing remote control – Targeted delivery <2 ml – multiple solutions refill – Short/extended periods

Claude Florin [email protected] 17

http://www.ithetis.com/�


Micro-projectors

• MVIEW ultraminiature laser microprojector based on MEMS.

• Applications – head-up (HUD) displays in

vehicles, – helmet-mounted (HMD)

displays, – smartphones and other

mobile devices. – 3D sensing, printers and

industrial sensors.

Claude Florin [email protected] 18

http://www.lemoptix.com/�


Sharing experience with lead investors Investor education workshops



Experts • 17 lecturers, 8 Clubs

Cursus

Education workshops Register to next workshop on the web site

* Dates on www.angelday.ch

www.angelday.ch

http://www.angelday.ch/�


The 4 risks to mitigate

• Product risk

• Financial risk

• Human factors

• Market risks

• Technology, patents

• Cash and financing management

• Entrepreneur + team

• Business model, customer demand

Source : Peter Pfister, Start Angels, Presentation Angel Day, 2012



BA teamwork improves success

Evaluation process CTI start-up process

50% Screening

Evaluation

Due diligence

Investment 5-10 %

3% high flyers

3% success

14% runners

80% fail

(~ 170)

25% CTI label 5

~ 40

~120

(~ 50)

~ 30

Source: adapted from CTI data 2012

~20

~ 4

Source: A3 Angels estimations



CTI Start-up survival rate > 85%

23 Claude Florin [email protected] 09/04/2013

CTI Label start-ups Companies on the market


Experience sharing – Strategies – Problem management – Goodwill

Impact

0

20

40

60

80

less than 1X

1X to 5X

5X to 10X

10X to 30X

more than 30X

No industry experience

Some industry experience

Impact of “lead investors”

%

Sources: Kaufmann foundation 2007 survey of 539 BAs N=3000, NESTA-BBAA “Siding with the Angels”- May 2009

Source : OECD 2011 “Financing high-growth firms : the role of angel investors”


Mentoring workshops


Raphael Rollier, Mentoring program manager


Mentoring workshops • Tag line : “see the life in

3D” - microscopy to see living cells without dye.

• Mentors : 2 • Duration : 6 months • Sessions : 5, face to face • Topics : market, pricing,

milestones • Feedback :

Mentee : Yann Cotte

Mentoring case study


NanoLive


Mentoring project • Tag line : user-friendly,

high-fidelity simulation software

• Mentors : 4 + MIT VMS • Duration : 1 year • Sessions : 8 face to face • Topics : IP, fundraising,

DD, management, sales • Feedback :

Mentee : Thomas Leurent


27 Claude Florin [email protected] 19/03/2013


Mentoring project • Tag line : user-friendly

allergy diagnoses promoting personalized medication

• Mentors : 4 in 2 phases • Duration : 3 years • Sessions : > 12 x 1.5h • Topics : conflicts,

network, friends • Feedback :

Mentee : Nicolas Durand



http://www.abionic.com/�


Mentoring project • Tag line : observation at

nanoscopic scale for quality control of semiconductors.

• Mentors : 2 • Duration : 1 years • Sessions : 6 • Topics : board creation • Feedback :

Mentee : Samuel Sonderegger




Meet 20 start-ups at the Seed night May 22, 2013 at EPFL Forum Rolex



About A3 Angels

• 50 events and presentations – 500 participants at

events, – >600 A3 members

informed

• 25 mentors

• 25 investors

more…

Innovation Promotion CTI


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business angels in switzerland

Technology

year source

year portfolio

bya3 angels

bas business angels

ar year trainings

a3 angels nelson gray

seed investments

suisse romandeclaude