Tuesday, December 31, 2019

The Investment Process at Stanford Angels and Entrepreneurs


Since 2014, Alex Jacquet has served as chief operating officer and head of product at the Los Angeles-based Smiletime, Inc. A graduate of Stanford University's MBA program, Alex Jacquet stays connected to his alma mater as a cofounding member of his local Stanford Angels and Entrepreneurs (SA&E) chapter.

Since 2010, SA&E has been bringing together entrepreneurs and investors from the Stanford community. The organization's membership body comprises Stanford students, faculty, and alumni, as well as their parents and spouses.

In addition to connecting investors with promising investment opportunities, SA&E strengthens Stanford's start-up community by connecting entrepreneurs with education, professional development, and investor funding. Investors who take part in the program are most interested in US-based start-ups using innovative hardware or software technologies. Investors also prefer companies that have already received backing from other individuals or a US-based venture capital firm.

The investment process starts with an initial qualification review by the SA&E investment committee. Companies that meet the review criteria then have the opportunity to pitch their product/service to interested investors. After a due diligence process conducted by SA&E, companies may proceed to negotiate terms with investing members.

Companies that receive funding from at least two investors are considered part of the SA&E portfolio and can choose to have their logo listed on the organization's website. Currently, nearly three dozen companies are receiving backing from SA&E members.