Frequently
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iAngels invests via iAngels Technologies LP, Delaware Series Limited Partnership, which issues a separate series for each iAngels investment. For each Partnership, iAngels Crowd Ltd. acts as the General Partner and investors participate as Limited Partners.
No. This is a prerequisite to be able to compete for the most sought after deals and entrepreneurs.
Angels and VCs work with us because we bring proven value to investors and entrepreneurs. Our global investor network facilitates business connections for our portfolio companies and an ability to raise capital contributes quickly and efficiently to a seamless closing of a round.
Rest assured that you will always receive the same terms as the iAngels GPs and the iAngels institutional fund.
However, specific protections for investors are idiosyncratic to each deal and are determined by the terms negotiated in the round with the startup and the other investors. We at iAngels typically receive 1x liquidation preference, information and preemption rights, and either a board seat or a board observer seat.
iAngels take a board seat or board observer in our portfolio companies.
All investment decisions must garner a consensus vote by members of our Investment Committee, which includes the Partners, Chairman and General Counsel.
We are a supportive investor that works hard to add value to our portfolio companies and in turn create wealth for our investors. Further, our experience and reputation in the Israeli tech ecosystem allows us to receive trusted deal flow and work with the savviest investors in the community.
iAngels invests via iAngels Technologies LP, Delaware Series Limited Partnership, which issues a separate series for each iAngels investment. For each Partnership, iAngels Crowd Ltd. acts as the General Partner and investors participate as Limited Partners.
Upfront iAngels secures the investment commitment with the startup then allows its investor base to come in and co-invest alongside us. After you commit to an investment on our platform, you will wire the funds to our secured bank account with Silicon Valley Bank in California. Following this, you will receive a certificate in the US-domiciled, Delaware Series Limited Partnership that is used to invest in the round of the company you have chosen. We act as General Partners of the vehicle whilst you participate as a Limited Partner.
US Dollar
10% upfront management fees and expenses and 20% carried interest on the profit of your investments.
Yes, but only if your corporation, LLC, or association qualifies as an accredited investor. Many of our investors prefer to invest in such a manner. Please note that you will be required to provide proper identification proving your connection and to the relevant corporation and will be asked to verify your corporation’s credentials as an accredited investor.
Due to the high-risk nature of venture capital investing, there are regulatory rules designed to protect investors in each country. Regulators assume that high-net worth individuals or institutions have a greater ability to understand the risks associated with venture investing and can afford to take those risks.
Investor accreditation varies by country and is determined by the financial regulations of your country of residence (think, where do I pay income taxes?). We recommend checking regulations with your financial or tax advisor.
Ex. US accreditation rules require an individual to have one of the two; either an income of $250,000 for the last two years of tax reporting; or a net worth in excess of $1 million.
We take pride in the abilities of our investor network and encourage any investor who would like to be involved to do so. Much of our network is interested to provide value to the startups they invest in whether through making business connections, providing mentorship, or consulting. If this sounds like you, please contact us to evaluate further.
Of course. Each investor is provided with a personal dashboard which contains the relevant material need to keep track. We believe this is what separates us from other Israeli VCs—the ability to provide our LPs with comprehensive quarterly updates.
Yes. In the investments we make, we insist on preemption rights in order to ensure we would be able to maintain our positions in our portfolio companies over time. We routinely participate in follow-on rounds and recommend to our investors to do the same if the company shows promise.
Investing in venture capital is a high-risk high reward asset class. If you do well, you’ll often lose on more investments than those you will profit on, but when you profit, those profits are expected to offset all the losses.
Our vision is to create a secondary market within our investor community in which purchased shares can be sold to other investors in future rounds. That said, we do not currently offer an official secondary market. You may contact us if you are an iAngels investor and are interested in divesting your position in one of our portfolio companies. However, our ability to find a buyer is largely dependent on the respective company’s traction and the appetite of our investor community.
In most cases, your tax obligation is the capital gains laws of your country of residence. Our investors are exempt from Israel capital gains taxes if they are not Israel residents. We advise that you consult with your tax advisor for specific tax guidance.
Each investor has a personalized dashboard on the iAngels Platform where they can view the history of their investments as well as current valuations, quarterly updates and tax reports. In addition, every investor has access to the iAngels team for any questions or assistance they may seek.
We see approximately 1000 companies per year and invest in around 7 new companies each year. In addition, we participate in about a dozen follow on rounds of our most
Angels and VCs work with us because we bring proven value to investors and entrepreneurs. Our global investor network facilitates business connections for our portfolio companies and an ability to raise capital contributes quickly and efficiently to a seamless closing of a round.
No. Before investing in anything, we conduct a rigorous, internal due diligence process, which involves assessment of the entrepreneurs, total addressable market, technology, product, customers, legal, financials, production traction, etc. Only those companies that successfully make it through our multi-leveled, DD process are selected for investment. Currently, this equates to only 3% of the deals we see.
Having influence in the high-tech ecosystem is of paramount importance to success in this asset class. We pride ourselves on our ability to build relationships with funds and angels throughout the country, where we have worked with some of the top funds and angels and have built deep connections to continue to receive top quality deal flow from our partners and entrepreneurs. Before working with a new fund or angel, we conduct extensive research into their track records and ability to work with startup management teams.
Our experience and connections in the ecosystem bring us tremendous value. Over the years our General Partners have established key relationships with entrepreneurs, VC funds and Angel investors who choose to work with us due to our level of professionalism and ability to help startups leverage our investor network.
Many of the entrepreneurs we have worked with in the past come back to us when they are on their next venture.
We believe that to produce alpha on behalf of our investors, we must focus our capital on the industries in which we have the most expertise. Though we invest strictly in high-tech startups, we do so across multiple verticals. Before entering a new vertical, we spend upwards of a year diving deep into the sector to understand it better than our competitors.
Investors receive the same terms as the iAngels GPs and the iAngels institutional fund.
However, specific protections for investors are idiosyncratic to each deal and are determined by the terms negotiated in the round with the startup and the other investors. We at iAngels typically receive 1x liquidation preference, information and preemption rights, and either a board seat or a board observer seat.
Each investor is provided a personal dashboard which includes a visual list of all investments. This list not only allows the investor to see comprehensive quarterly updates on their holdings, it also includes the recent valuations of said investments.
Whether investing in a single company or building a Managed Account, we apply the fees as such: One-time, combined expense and management fee of 10% paid upfront and included in the wire 20% carried interest on profits made, only after the principal investment amount is returned
Once we target a company that we are interested in, we first meet with the entrepreneurs. The success of a startup can be directly attributable to how a management team deals with setbacks and commercialization issues. Therefore, we work with an outside business psychologist to assess the mental and emotional fortitude of the entrepreneurs before we decide to work with them. We turn the qualitative into the quantitative. After numerous meetings with the entrepreneurs, our investments team puts the company and its technology through a rigorous due diligence process which includes everything from channel checks to discussions with outside tech experts to comparative analysis. We leave no stone unturned. If the company makes it through this first phase of due diligence, it is brought to our Investment Committee which then decides whether to continue to the next phase which includes but is not limited to deeper dives on the tech, its market potential, and reference checks on the entrepreneurs. If after the second phase the investment team still wants to pursue, it is then brought back to the IC where every General Partner must vote in favor before we pull the trigger.
We pride ourselves on our ability to build relationships with VCs and Angels throughout the country. We have worked with most of the top funds and angels and have built deep connections to continue to receive top quality deal flow from our partners and vice versa.
We believe that to produce alpha on behalf of our investors, we must focus our capital on the industries in which we have the most expertise. Though we invest strictly in high-tech startups, we do so across multiple verticals. Before entering a new vertical, we spend upwards of a year diving deep into the sector to understand it better than our competitors.
An investor can exit their position when the company they invested in is acquired or goes public. At times, if the company is doing well and there is demand from investors to invest and a primary opportunity in the company is not available, we can facilitate a secondary sale.