1. Franchise Private Equity Conclave
Role of Angel Investment in
franchise and retail industry
Sasha Mirchandani
Co-Founder, Mumbai Angels
Managing Director, Blue Run Ventures, India
http://www.mumbaiangels.com
Mumbai Angels

2. Sasha Mirchandani – Mumbai Angels
Bringing operational excellence & scaling experience to funding start-ups
Mumbai Angels
Mumbai Angels

3. Mumbai Angels

4. What is an Angel Investor ?
Anyone who provides private capital to a (non family) start-up
• Usually the first outside investor
• Invest with the expectation of a financial return
• Invest usually locally and regionally
• Participate actively in the investment process
• Usually care about the entrepreneurs and the companies
they invest in / interested in building personal
relationships with companies & employees
• Offer advice and guidance to founders
Mumbai Angels

5. Angel Investors in the US
225,000
Estimate of Active Angels
Estimate Of
U.S. (Center For Venture Research)
Informal
Millionaires
Investors
* Source: Angel Capital Association Presentation by Ian Sobieski, Band of Angels, Oct 2007
Mumbai Angels

6. Rising Popularity of Angel Investing
3x Growth in North American Angel Organizations in 7 yrs
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7. Angel Investing – Investment Focus
Internet / Software lead other segments
* Source: Center for Venture Research (pre 03 data) and Kauffman Foundation/ACEF (04-06 data)
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8. Angel Investments in Perspective
In the Context of Venture Capital
* Source: University of New Hampshire Center for Venture Research, Price Waterhouse Coopers
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9. Venture Capital is Highly Concentrated
Silicon Valley (40%) and NY (7%)
account for nearly half of venture investment
* Source: NVCA Research 2009; PriceWaterhouseCoopers
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10. Silicon Valley Success Story
“Internet is the Greatest Legal Wealth Creation in History”
• Consumer internet still offers best path to high multiple returns
• Key differentiator: capital efficiency
• Virtually all the big successes were first backed by angels
* Source: NVCA Research 2009; PriceWaterhouseCoopers
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11. Where should Angels invest ?
Finding Great Companies is the Basis of Angel Investing
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12. What Does It Take….
……To Be A Successful (Angel) Investor
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13. Growth is Key to Successful Investing
Key: Target the Fastest Growing Internet and Mobile Markets
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14. Growth is Happening Faster
Example: Disruptive Platforms - Time to Success much Shorter
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15. Next Big Things
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16. Drastic Changes in Exits
Start-ups Need Less Capital, Exits Shrinking…
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17. Food For Thought
What will it take to have an entry from India here ?
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18. Sasha Mirchandani
sasha@mumbaiangels.com
sasha@brv.com
Mumbai Angels