Angel Investors

C-Cap has assembled a group of individual investors who are actively seeking investments in growth companies. The group has grown to over 25 individuals, up from 7 members when C-Cap began in Spring 2001. C-Cap is open to additional members. Many of the current members are former chief executive officers and founders of successful companies, and a number of them are knowledgeable in information technology and other technologies.

Typical investments by individuals have been $25,000 to $100,000 or more per deal. Many of the C-Cap angel members are interested in actively mentoring the companies in which they invest, and this is encouraged.

C-Cap angels have invested in a variety of industries, including information technology, biotechnology, and nanotechnology. The members are also interested in financing other types of businesses, including spin-offs and industry consolidation ventures. The typical angel member is seeking a return on investment comparable to that obtained by venture capital firms.

Investors must be "accredited" investors (under securities laws) in order to become members of C-Cap and invest in the companies that C-Cap presents to them. Generally, individuals are "accredited" only if a) they have an annual income of $200,000 or more individually, or $300,000 or more with their spouse, for the past two years and expect to have such an income during the current year, or b) they have a net worth of at least $1,000,000 (with spouse). There are separate rules governing whether trusts and other entities are accredited. Each potential C-Cap angel member should consult legal counsel on this important issue. C-Cap does not give legal advice.

Individuals can join C-Cap as members for an annual fee of just $500, thanks to the funding provided by Ohio's IT Alliance and C-Cap's sponsors. Angel members are not legally obligated to invest in any opportunities presented by C-Cap, but C-Cap reserves the right to terminate angel members who do not make any investments over a substantial period of time, in order to limit the distribution of business plan summaries to interested investors.

Each Angel member will receive a copy of each business plan summary that C-Cap distributes to any member Angels, and will be invited to attend any meetings C-Cap holds among interested investors to discuss individual businesses. Generally, interested investors then contact the company directly, and proceed without C-Cap's further involvement. Angel members will make their own investment decision concerning each company. C-Cap does not advise angel member on the merits of companies, or assist in negotiating deals. Each Angel member will be invited to attend C-Cap's annual evening event for angels, entrepreneurs and sponsors, and all similar C-Cap events. Each Angel member will also be eligible to attend the Angel Investing events and other educational events held for angels. There may be an admission charge for some of these events.

C-Cap organizes programs that are of interest to its Angel members, and ideas for topics are welcomed. Queen City Angels has assembled an Angel Toolkit and distributes it to its members. The Toolkit includes sample forms of common documents like subscription agreements and investment documents, financial analysis tools, and educational materials provided by C-Cap sponsors and other experts.

C-Cap conducts educational events for investors.
See the Events page of this web site for more information.

To become a C-Cap angel member, please contact Jim Cunningham, Executive Director of C-Cap, at (513) 618-6440 or email c-cap@thecircuit.net.

Most of C-Cap's Angel members are also members of Queen City Angels, an existing "club" of active Angel investors. The Queen City Angels intend to focus on businesses that have submitted their executive summaries to C-Cap. Queen City Angels have funded several startups in the past year, and meet at least monthly to review opportunities. The Queen City Angels group is currently open to new members on a selective basis. For more information about Queen City Angels, email your request to c-cap@thecircuit.net, and your request will be forwarded to Queen City Angels.