Maritime Angels: DYI community financing
Instead of bemoaning the lack of angel funding for startups, a group in Halifax, Nova Scotia, started their own “angel fund”. Maritime Angels has 76 members who have so far invested $2.8 million into 8 startups who have consequently raised an additional $10 million in funding.
The project was created in 2005 initially to develop a local network for entrepreneurs. The founders thought that if they could round up 30 members, they could have some fun.
A couple of the Maritime Angels’ successes: Bulldog Interactive Fitness which was recently acquired, and Adventus Interactive which delivers online music classes (via the cleverly named MusIQ Club).
Maritime offers an innovative model that’s different than many angel organizations (such as Ottawa’s Purple Angel). The low minimum fund contribution of $10,000 creates a long-tail for high-risk investment. This allows greater participation from the community.
UPDATE: Maritime Angels = First Angel Network…
Cool, let the moaning stop and the funding begin. How do we start a similar fund here in Ottawa? There are many Maritime expatriates in Ottawa to draw on.