Q. What is an angel investor?
A. Angel investors (sometimes known as “business angel investors”) are high net-worth individuals who make high-risk, potentially high-yield investments in start-up companies or small businesses looking to expand their market opportunities. Angel investors typically focus on companies that have already developed a basic concept and business strategy, and are in the seed stage of investment. An emphasis is placed on business enterprises with the potential for rapid growth.
Q. What are the membership requirements?
A. Aggie Angel Network individual members must be accredited investors who agree to be active participants in the group. Based on Rule 501 of the SEC regulations, an individual accredited investor is “Any natural person whose individual net worth or joint net worth with that person’s spouse at the time of his or her purchase exceeds $1,000,000; OR “Any natural person who had an individual income in the excess of $200,000 in each of the two most recent years or joint income with that person’s spouse in excess of $300,000 in each of those years and has a reasonable expectation of reaching the same income level in the current year. Institutional membership is available for corporations, financial or investment institutions. Institutional members receive two “seats” at all member events and functions.
Q. Are Aggie Angel Network members expected to invest a certain amount in these companies?
A. Members are asked to be prepared to make at least one investment per year of at least $25,000.
Q. Is there a membership fee?
A. The Aggie Angel Network is a non-profit corporation. The annual membership fee for individual members is $1,500 and the annual fee for institutional membership is $5,000. The membership fees are used to cover some of the AAN’s operating expenses. Additional support to the Aggie Angel Network is provided by its sponsors and through entrepreneur application and presentation fees.
Q. Is there a membership code of conduct?
A. Yes! The Aggie Angel Network has the following membership code of conduct:
- I will conduct myself in a professional manner at all times.
- I will respect the privacy of other members and not provide their name to any third party without their permission.
- I will keep membership information confidential.
- I understand and recognize that AAN meetings and communications are focused on investment pursuits and will not solicit another member for business.
- I will disclose to the group any relationship I have or may have with a presenting company, including any personal gain I may receive from the company.