(left to right): Claudio Rojas, CEO (National Angel Capital Organization), Shannon Pestun (Entrepreneur), Paulina Cameron, CEO (The Forum), Melodie Gingras (The Forum), The Honourable Rechie Valdez (Minister of Small Business), and Sabine Soumare, Executive Director (Women Entrepreneurship Knowledge Hub) at TSX Open celebrating Women’s Entrepreneurship Day. (Photo: Business Wire)
NACO Launches National Women’s Initiative with Organizations Supporting Women Entrepreneurs and Angel Investors
The national initiative will increase capital for women entrepreneurs and increase the number of women investors across Canada
Ottawa, ON (November 28, 2023) — The National Angel Capital Organization (NACO) today announced the launch of the National Women’s Initiative, a groundbreaking series of projects that will leverage a national network of partner organizations to provide support and education to women entrepreneurs across Canada.
The National Women’s Initiative is funded by the Government of Canada through the Inclusive Women’s Venture Capital Initiative, a key part of Canada’s first-ever Women Entrepreneurship Strategy.
Through its partnerships with established organizations dedicated to women's entrepreneurship, investing and business, NACO will support a variety of projects, including a series of cross-country roundtables where women investors and entrepreneurs will have the opportunity to connect, share challenges, and identify opportunities. The initiative will also provide a platform for educational materials designed to empower women entrepreneurs and investors with the know-how to succeed, as well as share investor and entrepreneur stories to amplify and inspire women in the ecosystem.
The launch of the National Women’s Initiative further solidifies the critical role of NACO as a platform for cross-Canada connectivity, the advancement of best practices and education, and increased access to capital for entrepreneurs through the activation of angel investors in the ecosystem.
According to NACO's 2023 report, women now constitute 37% of Canada's angel community, marking a 50% increase from previous years. However, women and diverse entrepreneurs still encounter hurdles in building successful ventures in Canada due to systemic bias, limited access to critical networks, and low representation in the investment community. The National Women's Initiative, powered by NACO, is launching new programs to combat these challenges and enhance capital and opportunities for women entrepreneurs nationwide.
“Supporting women in business isn’t just the right thing to do—it’s the smart thing to do to support our economy. The launch of the National Women’s Initiative is great news for women entrepreneurs and is yet another step our Government is taking to support women-owned businesses from coast to coast to coast,” said the Honourable Rechie Valdez, Minister of Small Business. “Through Canada’s first-ever Women Entrepreneurship Strategy—and partners like the National Angel Capital Organization—our government is delivering real support for tens of thousands of women-owned small businesses that will help build a stronger, more inclusive economy and create good middle-class jobs for all Canadians.”
"NACO’s vision is that of a platform — one dedicated to national connectivity, the advancement of best practices, education, the expansion of capital accessibility, and the mobilization of more women angel entrepreneurs and investors into the ecosystem,” said Claudio Rojas, CEO of NACO. “The National Women’s Initiative will serve as an unprecedented effort within the Canadian angel investment landscape, and one that we believe will truly make a difference in the lives and professional success of women entrepreneurs across all regions of Canada.”
“We believe in the power of diversity and the limitless potential of entrepreneurs in Canada. There are so many visionary women founders making remarkable contributions to their industries, markets and communities. NACO’s commitment to providing these leaders with the additional support they need will only accelerate their impact,” said Sonya Shorey, Interim President and CEO of Invest Ottawa. “Invest Ottawa is proud to be part of this ecosystem and a partner in NACO’s National Women’s Initiative. By supporting women in business, we’re not simply driving growth. Together, we are creating a more competitive and inclusive entrepreneurship ecosystem, economy and Canada. ”
About NACO
NACO members have invested $1.54 billion into more than 2,000 Canadian companies. Incorporated in 2002, NACO is Canada’s professional association for angel investors and the national umbrella for over 100 organizations including angel groups, venture funds, incubators and accelerators.
Angel investors are individuals or funds that put their capital at risk in the early-stage ecosystem. This includes, but is not limited to, individual Limited Partners (LPs) that invest passively or semi-actively in funds or venture funds, family offices that invest in pre-seed and seed stage companies, and individuals that invest directly into early-stage companies on their own or with the support of an angel group.
Angel-backed companies that went on to achieve successful outcomes include Slack and Thinkific in BC; Verafin in Newfoundland and Labrador; WealthSimple and ApplyBoard in Ontario; Paper in Quebec; SkipTheDishes in Saskatoon; and Jobber and Neo Financial in Alberta. Angel investment fuels the pipeline of companies that grow to raise venture capital and scale into the global success stories of the future.
To learn more about the National Women’s Initiative, go to: https://nacocanada.com/womensinitiative.
Media Contact: [email protected]
NACO, in collaboration with leading academics, investors, and entrepreneurs, releases 2022 Report on Angel Investing in Canada.
Toronto, ON | September 28, 2022. Today, the National Angel Capital Organization (NACO) released its Annual Report on Angel Investing in Canada. This year's report analyzes Canadian angel investment totaling $262.1 million, a record recovery from 2020’s pandemic low of $102.9 million.
For the first time in NACO's history, the organization has leveraged its international platform to spotlight the achievements of 27 women trailblazers at the forefront of Canada’s innovation economy. Sharing the stories of these individual women leaders throughout the report will help accelerate change, while celebrating a remarkable achievement identified by NACO: a 50% increase in women’s participation in angel activity since 2019.
In another historical first, a coalition of senior leaders from across the innovation economy contributed to the development of the report, including unicorn founder Mike Wessinger of PointClickCare; Claudette McGowan, Founder of the Firehood and General Partner of Phoenix Fire Fund; Dinaro Ly, Head of Innovation Partnerships at Interac Corp; Jérôme Nycz, Executive Vice President at BDC Capital; and Stephen Stewart, Managing Director, M&A at TD Securities.
“On behalf of Canada’s innovation economy, I extend a sincere thank you to the 27 women trailblazers highlighted in our report, the dozens of ecosystem leaders who served on our review committee, and NACO’s vast network of members and community partners, each of whom played an essential role in the genesis of this document,” said Claudio Rojas, CEO of the National Angel Capital Organization. “Not in the least, I’d like to acknowledge the contributions of our report’s lead author, Dr. Colin Mason, Professor of Entrepreneurship at the University of Glasgow’s Adam Smith Business School. Dr. Mason’s groundbreaking research is a gift to the innovation economy in Canada and across the globe.”
To maximize its impact on Canada’s innovation economy, NACO’s annual report will be distributed to over 20,000 recipients, including investment organizations, academic institutions, and international trade embassies, among others.
In conducting the research underlying its report, NACO identified a number of areas in need of change: ranging from systemic barriers confronting diverse founders to regional isolation in Canada’s innovation economy. To address these challenges, and build a better Canada, NACO will be announcing the launch of numerous transformative initiatives over the next twelve months.
“NACO’s decision to showcase the accomplishments of individual women leaders across the innovation economy reflects its commitment to driving real progress and real change that impacts real people,” said Claudette McGowan, Co-founder of The Firehood and General Partner of Phoenix Fire Fund. “NACO’s Initiative for Women Entrepreneurs shares the core mission of Phoenix Fire Fund: increasing the number of women entrepreneurs who build high-growth companies.”
Among the national coalition of leaders who contributed to NACO’s report was Silicon Valley Bank, whose own recently released report, The Future of Climate Tech, identifies an additional area of opportunity and change: climate tech, which is an emerging sector of vital importance.
“We are proud to work together with NACO on this year’s report and see incredible potential in NACO's capacity to support the growth and maturation of Canada’s clean economy,” said Filip Stoj, Vice President, Early Stage Startups at Silicon Valley Bank in Canada. “NACO has the unique ability to fill critical educational gaps in the venture ecosystem while simultaneously reducing barriers that hold back investment in emerging technologies. NACO’s report provides evidence of its ability to lead change, and we look forward to working with NACO to help build a more sustainable and inclusive future for Canada and the world.”
Download NACO’s 2022 Report on Angel Investing in Canada here.
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About National Angel Capital Organization
National Angel Capital Organization (NACO) members have invested $1.38 billion into more than 1,900 Canadian companies. Incorporated in 2002, NACO is Canada’s professional association for angel investors and the only national platform for angel collectives and the innovation hubs that support Canada’s entrepreneurs. NACO’s national network includes 4,200 angel investors, 50 incubators and accelerators, and 45 angel groups. https://nacocanada.com/.
Data Collection Partners and Report Contributors
With input from leading angel organizations and funds across the country, NACO’s Annual Report on Angel Investing in Canada tracks important investment trends and analyzes the evolution of angel investing within Canada’s innovation economy to inform program and policy development.
In 2021, Canada’s angel investment ecosystem reported a record amount of investment, totalling $262.1 million. Over the past 12 years, Canadian angel investors have invested a cumulative $1.38 billion. The report also tracks a shift in the angel landscape with women now comprising 27% of the members of Canadian angel organizations, a 13% increase from 2020 and an approximate 60% increase from 2019 and 2018.
More than 40 organizations and firms from across Canada’s innovation ecosystem supported the data collection, development and review of this year’s report.
Accelerate Okanagan
Angel One
Anges Québec
Backbone Angels
Bizfield Angel Network Ltd.
Bluesky Equities Ltd.
Brightspark Ventures
Canadian International Angel Investors Ltd.
Capital Angel Network
DealPoint for Syndicates
East Valley Ventures
Entrevestor
First Line Capital (Burlington)
Foresight
Genesis Centre
Georgian Angel Network
GIC Merchant Bank Corp
Golden Triangle Angel Network
GreenSky President's Club
HaloHealth
Innovate Edmonton
InterGen
Island Capital Partners
Keiretsu Forum Canada
Killick Capital
Launch Ventures
Maple Leaf Angels
New Brunswick Innovation Foundation
Niagara Angel Network
Northern Ontario Angels
North Forge Technology Exchange
Ontario Capital Growth Corporation
Ontario Centre of Innovation
Pelorus Venture Capital
Peterborough Region Angel Network
Southeastern Ontario Angel Network
Southwestern Ontario Angel Group
Silicon Valley Bank
Spark Angel Network
The51 Ventures Inc.
Two Small Fish Ventures
Valhalla Private Capital Inc
VANTEC Angel Network and E-Fund
Windsor Essex Capital Angel Network
York Angel Investors Inc.
Yukon Venture Angels
To schedule an interview, contact:
CEO, National Angel Capital Organization
Email: [email protected]
A photo accompanying this announcement is available at: https://drive.google.com/file/d/1hmC8_rDypVaRRRiATJ1Wa-oKbYUbDFLZ/view?usp=sharing
Photo Caption: NACO's report cover is a mosaic of women leaders at the forefront of Canada's innovation economy.
NACO reports a 50% increase in women angel participation and a rebound with $262.1 million of angel investments
Claudio Rojas, CEO of NACO in conversation with The Honourable Mary Ng, Minister of International Trade, Export Promotion, Small Business and Economic Development.
TORONTO, July 20, 2022 (GLOBE NEWSWIRE) -- After 12 years of tracking investment data across the Canadian innovation ecosystem, the National Angel Capital Organization (NACO) is releasing key highlights from its Annual Report on Angel Investing in Canada. This year's report highlights a record amount of investment, totalling $262.1 million. Over the past 12 years, Canadian angel investors have invested a cumulative $1.38 billion, with $102.9 million invested in 2020 and $163.9 million invested in 2019. This report also tracks a shift in the angel landscape with women now comprising 27% of the members of Canadian angel organizations, a 13% increase from 2020 and an approximate 60% increase from 2019 and 2018.
With input from angel organizations and funds across the country, NACO’s Annual Report on Angel Investing in Canada tracks important trends in investment behavior and highlights the changing landscape of angel investing. This evidence-based report analyzes the evolution of angel investing within Canada’s innovation economy and informs program and policy development.
“In 2021, we saw a wide-ranging shift from traditional modes of angel investing, with SPVs and early-stage funds contributing to a vibrant ecosystem. We also saw a conscious approach to breaking down systemic barriers for women and underrepresented entrepreneurs. It’s a year that reflects in many ways how our community is leading change in the broader economy,” said Claudio Rojas, CEO of the National Angel Capital Organization. “What happens in the angel community of today, affects the venture-capital community and the broader economy of tomorrow. While we have more work to do, I’m proud of what our network has achieved this past year.”
Angel investors funded emerging ventures in communities across the country, investing both locally and across regional borders along increasingly thematic lines. In addition to capital, angel investors provide invaluable mentorship and network access for entrepreneurs, often leveraging their own experience and knowledge to help entrepreneurs overcome otherwise challenging obstacles. Angel investors provide support at the critical early stages of a company’s lifecycle, paving the way for later investment from VC and private equity investors.
“Angel investment is a critical part of Canada’s entrepreneurial and innovation ecosystem. It supports start-ups in all sectors of the economy across the country,” said the Honourable Mary Ng, Minister of International Trade, Export Promotion, Small Business and Economic Development. “This year’s NACO report shows incredible results are being achieved, in terms of both increased investments and a higher number of women now participating in angel organizations. I would like to congratulate NACO for their great work and leadership within the angel investor community.”
Investment from the federal government, coupled with support from local organizations and corporate partners has helped drive diversity across the angel landscape and has activated investment for equity-deserving groups and for founders in capital-constrained regions.
Data reported last year by NACO highlighted the impact that economic uncertainty can have on angel investing, with angel investing activity closely mirroring the COVID-19 outbreak surges in 2020. The 2021 data paints a more positive picture showing a sharp increase in investment activity from Q1 to Q2, a slight drop in Q3 and a slight increase in deal activity in Q4.
“2021 was a phenomenal year for Canadian startups with the angel investor community making 635 investments, compared with 416 in 2020. These investments help create jobs and drive economic prosperity and innovation. Our priority at NACO is to sustain this momentum in the face of mounting economic pressures,” said Mary Long-Irwin, Chair of the National Angel Capital Organization. “We can look to successful programs like the Venture Capital Catalyst Initiative or the BDC Capital Bridge Financing Program for inspiration as we work to develop new mechanisms to drive investment at the critical early stages of company growth, creating a strong pipeline of VC-ready, high-growth companies.”
This forthcoming 12th edition of the NACO Report on Angel Investing in Canada is authored by world-renowned researcher Colin Mason, Professor of Entrepreneurship at the University of Glasgow.
Highlights from 2022 Report on Angel Investing in Canada – Claudio Rojas, CEO of NACO: https://vimeo.com/724591198
Highlights from 2022 Report on Angel Investing in Canada – Amanda Filipe, Director, National Initiative for Women Entrepreneurs: https://vimeo.com/724607136
Key Stats:
50% increase in women angel investors over four-year average (2020: 24%, 2019: 17%, 2018: 17%, 2017: 14%). In 2021, women angel investor participation rose to 27% compared to 24% in 2020, an approximate 60% increase from 2019 and 2018.
53% increase in the number of investments with angel organizations facilitating 635 investments, compared with 416 in 2020. This is a 38% increase in the number of investments over the past four-year average.
Cumulative angel investment was $1.38 billion between 2010 and 2021 (inclusive).
The average amount invested per company in 2021 was $346,023.
There was a sharp increase in investment activity from Q1 to Q2, a slight drop in Q3 and a slight increase in deal activity in Q4.
Central Canada (Ontario and Quebec) accounted for 67% of investments in 2021, 5% from Atlantic Canada, 27% from Western Canada, and 1% from Yukon.
About National Angel Capital Organization
National Angel Capital Organization (NACO) members have invested $1.38 billion into 2,000 Canadian companies. Incorporated in 2002, NACO is Canada’s professional association for angel investors and the only national platform for angel collectives and the innovation hubs that support Canada’s entrepreneurs. NACO’s national network includes 4,200 angel investors, 50 incubators and accelerators, and 45 angel groups. www.nacocanada.com.
Data Collection Partners and Report Contributors
More than 40 organizations and firms from across Canada’s innovation ecosystem supported the data collection, development and review of this year’s report.
Accelerate Okanagan
Angel One
Anges Québec
Backbone Angels
Bizfield Angel Network Ltd.
Bluesky Equities Ltd.
Brightspark Ventures
Canadian International Angel Investors Ltd.
Capital Angel Network
DealPoint for Syndicates
East Valley Ventures
Entrevestor
First Line Capital (Burlington)
Foresight
Genesis Centre
Georgian Angel Network
GIC Merchant Bank Corp
Golden Triangle Angel Network
GreenSky President's Club
HaloHealth
Innovate Edmonton
InterGen
Island Capital Partners
Keiretsu Forum Canada
Killick Capital
Launch Ventures
Maple Leaf Angels
New Brunswick Innovation Foundation
Niagara Angel Network
Northern Ontario Angels
North Forge Technology Exchange
Ontario Capital Growth Corporation
Ontario Centre of Innovation
Pelorus Venture Capital
Peterborough Region Angel Network
Southeastern Ontario Angel Network
Southwestern Ontario Angel Group
Silicon Valley Bank
Spark Angel Network
The51 Ventures Inc.
Two Small Fish Ventures
Valhalla Private Capital Inc
VANTEC Angel Network and E-Fund
Windsor Essex Capital Angel Network
York Angel Investors Inc.
Yukon Venture Angels
To schedule an interview, contact:
Claudio Rojas
CEO, National Angel Capital Organization
Email: [email protected]
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/3ad60dee-ec95-4244-8bed-703c714fc51f
Carol Anne Hilton, Claudette McGowan, John Stackhouse and Mohamad Fakih named as NACO Nation Builder of the Year Award recipients
Toronto, ON | March 22, 2022 Carol Anne Hilton, Claudette McGowan, John Stackhouse and Mohamad Fakih named as the recipients of the inaugural Nation Builder of the Year Award by the National Angel Capital Organization (NACO).
In celebration of NACO’s 20-year anniversary, the organization announced this new award category that celebrates the role of business leaders whose passion and commitment is driving positive change. The Nation Builder of the Year award recognizes extraordinary community service that is inspiring others to take action. As Canada’s professional association for angel investors and the only national platform for both angel groups and the innovation hubs that support Canada’s entrepreneurs, NACO is leading initiatives to mobilize seed capital and advance inclusive economic prosperity.
“This award signals an important shift in the way NACO is approaching ecosystem-building, by focusing on future impact and transforming systemic failures into areas of opportunity for economic growth and social progress,” said Claudio Rojas, CEO of National Angel Capital Organization. “NACO has an incredible 20 year history and a committed network of inspiring leaders, investors and organizations that are committed to building Canada’s future.”
Previous NACO award recipients include Arati Sharma, Founding Partner of Backbone Angels, an angel collective focused on funding women and non-binary founders with a focus on investments in Black, Indigenous, and Women of Colour-led companies; Mark Dobbin, President of Killick Capital and early investor in U.S. $2.75 billion success story Verafin based in St. John’s, Newfoundland; and Mary Long-Irwin, former Executive Director of Northern Ontario Angels, an organization that has mobilized $203,045,000 in investment for northern founders.
“By highlighting these bold leaders and showcasing the important work they are doing to drive equity, we aim to accelerate progress and advance Canada’s innovation economy,” said Amanda Filipe, Director of NACO’s National Initiative for Women Entrepreneurs and Diverse Founders. “This is a critical part of building a collaborative foundation upon which we can launch impactful programs and initiatives that facilitate access to capital and networks for all of Canada’s entrepreneurs.”
To learn more about NACO and watch Canada’s 2022 Nation Builder of the Year award recipients in conversation with Claudio Rojas, CEO of NACO, visit www.nacocanada.com/awards
About NACO Global
The 2022 Nation Builder of the Year award was announced at NACO Global an online summit taking place on March 22nd and 23rd featuring the following speakers:
Alison Nankivell Senior Vice President, Funds and Global Scaling, BDC Capital
Amanda Hall CEO, Summit Nanotech
Amy Peck Founder and CEO, EndeavorVR
Allen Lau Co-founder and CEO, Wattpad
Brad Simpson VP Corporate Development, Attabotics
Caroline Pelletier Vice President Screening, Anges Québec
Charles Plant Founder The Narwhal Project
Colin Mason Professor of Entrepreneurship, Adam Smith Business School
Cressida Raffin Co-Founder and CEO, Birdie Break
Dan Burgar Co-Founder and CEO, Frontier Collective
David Lisk Vice President, National Research Council of Canada Industrial Research Assistance Program (IRAP)
Eva Lau Founding Partner, Two Small Fish Ventures
Jennifer Francis Chair, Capital Angel Network
Jennifer Wagner President CarbonCure Technologies
Jocelyn Mangan Founder and CEO, Him for Her
John Knubley Fellow, Brookfield Institute
Kim Furlong CEO, Canadian Venture Capital and Private Equity Association
Leisa Hirtz Founder and CEO, Women’s Global Health Innovations
Manny Padda General Partner and Managing Director, LOI Venture
Melanie Swerdan Co-Founder, Birdie Break
Michelle Zatlyn Co-Founder, President and COO, Cloudflare
Mike Wessinger Co-Founder and CEO, PointClickCare
Hon. Navdeep Bains Vice-chair of Global Investment Banking, CIBC
Randall Howard Founder and General Partner, VERDEXUS
Philip Cutler Founder and CEO, Paper
Sandi Gilbert CEO and Founder, DealPoint Capital
Solon Angel Founder and Chief Development Officer, MindBridge
Stephany Lapierre Founder and CEO, Tealbook
Hosted by:
Amber Mac TV Host and Author
Catherine Murray Fmr. Anchor, BNN Bloomberg
Claudio Rojas CEO, National Angel Capital Organization (NACO)
Arati Sharma of Backbone Angels Announced as Canada’s 2021 Angel of the Year
Toronto, ON | December 8, 2021 Founding partner of Backbone Angels, entrepreneur and former Shopify executive, Arati Sharma was announced today as the recipient of the 2021 Angel of the Year Award by the National Angel Capital Organization (NACO).
Canada’s Angel of the Year Award, supported by BDC Capital, recognizes an individual who has made a significant contribution to the Canadian entrepreneurial ecosystem through a combination of investment, leadership and mentorship. As Canada’s professional association for angel investors and the only national platform for both angel groups and the innovation hubs that support Canada’s entrepreneurs, NACO leads initiatives that mobilize angel capital and advance inclusive economic prosperity.
Now in its 8th year, this award has recognized outstanding leaders including Mark Dobbin, President of Killick Capital and early investor in U.S. $2.75 billion success story Verafin; and Sophie Forest, Managing Partner of Brightspark Ventures who played a pivotal role in the investment, growth and exit of Radian6, leading to a 23x multiple on capital invested — one of the most successful technology exits in Canadian history.
“Arati’s leadership as an angel investor embodies the spirit of this award, which emphasizes impact and community building,” said Claudio Rojas, CEO of National Angel Capital Organization. “As our country looks toward economic recovery and growth, we know that angel investors like Arati are critical to supporting Canada’s entrepreneurs as they build and scale the high-growth companies of the future.” said Mary Long-Irwin, Board Chair of National Angel Capital Organization.
Sharma’s journey to angel investing began in 2014 when she joined Shopify, and became immersed in the company’s entrepreneurial culture. After leaving the company, Sharma became a founding partner of Backbone Angels, a collective of active angel investors who met while working at Shopify. This collective invests in women and non-binary founders with a focus on investments in Black, Indigenous and Women of Colour-led companies. Sharma also became an entrepreneur herself, co-founding Toronto-based skincare brand Ghlee with her brother.
Since beginning her angel investing journey, Arati has invested in 50 companies and is an LP in five funds. In 2021 alone, Arati has invested in 28 startups and four funds. Arati’s investments include Willful, Three Ships Beauty, Sheertex, and Kotn.
“I’m honoured to be recognized by NACO for this award and I’m thankful to my colleagues at Backbone Angels for embarking on this journey with me to create equitable access to capital for entrepreneurs.” said Arati Sharma, 2021 Angel of the Year. “My journey to angel investing came out of a passion for supporting women in our local communities and the wider startup space, and I’m excited to help drive meaningful change in our innovation ecosystem.”
The 2021 Angel of the Year was announced at an event on December 8th featuring the following speakers:
Amber Mac, TV Host and Author
Catherine Murray, fmr. Anchor and Co-host, BNN Bloomberg
Geneviève Tanguay, CEO, Anges Québec
George Rossolatos, CEO, Canadian Business Growth Fund
Janet Bannister, Managing Partner, Real Ventures
John Ruffolo, Managing Partner, Maverix Private Equity
Julie Angus, CEO, Open Ocean Robotics
Kim Furlong, CEO, Canadian Venture Capital and Private Equity Association
Mark Dobbin, President of Killick Capital
Michelle Scarborough, Managing Partner, Strategic Investments and Women in Technology Venture Fund, Business Development Bank of Canada
Randall Howard, General Partner, ArchAngel Network of Funds
Sophie Forest, Managing Partner, Brightspark Ventures
“This award is a testament to the staying power and growth of the angel community and is the culmination of our collective efforts over many years,” said Michelle Scarborough, Managing Partner, Women in Technology Venture Fund at BDC. “Congratulations to Arati Sharma on being named Canada’s 2021 Angel of the Year. We thank you for your leadership and for your contributions to the innovation ecosystem and we look forward to working with you to inspire and mobilize angel investors right across the country.”
About the Nation Builder of the Year Award
The NACO Nation Builder of the Year Award celebrates the role of business leaders whose passion and commitment is driving positive change. This award recognizes extraordinary community service that is inspiring others to take action. Award recipients are being announced at the NACO Global Summit taking place online at www.naco.global.
About National Angel Capital Organization
National Angel Capital Organization (NACO) members have invested $1.12 billion into more than 1,500 Canadian companies. Established in 1998, NACO pioneered the “access to capital” movement and led the formation of angel groups in Canada. As Canada’s professional association for angel investors and the only national platform for both angel collectives and the innovation hubs that support Canada’s entrepreneurs, NACO’s national network includes 4,200 angel investors, 50 incubators and accelerators, and 45 angel groups. www.nacocanada.com
NACO Spotlight
Quebec-based Angel Investor Ginette Mailhot
Sept. 8, 2021
Ginette is the former chair of the board of Anges Quebec. She started her career in the insurance industry and rose through the ranks to become a co-owner and president, selling her firm in January 2015 and joining Anges Quebec shortly after. Her interest and her passion quickly led her to join the board of directors, a position she held for one year before becoming chairperson in October 2017.
She obtained her Executive MBA from McGill in 2014 and is very active in her community as the chairperson of the Board of Directors of the Economic Development Corporation of the Joliette RCM since February 2016.
Ginette a été présidente du conseil d'administration d'Anges Québec. Elle a débuté sa carrière dans le secteur de l'assurance et a gravi les échelons pour devenir copropriétaire et présidente, avant de vendre son cabinet en janvier 2015 et de rejoindre Anges Québec peu de temps après. Son intérêt et sa passion l'ont rapidement amenée à rejoindre le conseil d'administration, poste qu'elle a occupé pendant un an avant de devenir présidente en octobre 2017.
Elle a obtenu son Executive MBA de McGill en 2014 et est très active dans sa communauté en tant que présidente du conseil d'administration de la Corporation de développement économique de la MRC de Joliette depuis février 2016.
NACO Spotlight
Northern Ontario Angel Investor Mary Long-Irwin
Aug. 25, 2021
Mary Long-Irwin is the Executive Director of Northern Ontario Angels, an organization that matches entrepreneurs with angel investors across Northern Ontario. Under her guidance, Northern Ontario Angels was awarded for being the top performing Angel Group across North America with more than 300 deals with over $150M in private investments.
She is also the board chair at NACO and a strong community leader. Her founder-oriented approach to ecosystem development has been instrumental in NOA’s emergence as a top-performing angel group. Under Mary’s leadership, job creation has been strong with thousands of full-time and part-time new jobs created. She received NACO’s Lifetime Achievement Award in 2019.
Northern Ontario Angels follows a community-first model in their approach to investment and is a leading example of the impact of angel investors on job creation and economic growth in local communities beyond the major city centers in Canada.
In this interview, we chat with Mary about the success of Northern Ontario Angels, her advice for new investors and much more.
NACO Spotlight
Atlantic Angel Investor Rhiannon Davies
Aug. 18, 2021
A native of New Brunswick, Rhiannon’s business leadership spans Europe, Asia, South and North America. She was on the Board of Directors that took GrandVision N.V., a $ 5.5 Billion revenue retailer with businesses in 45 countries, through a successful IPO on the Amsterdam Stock Exchange. Rhiannon has driven the target identification, due diligence, acquisition, integration and move to profitability of many companies.
She thrives in fast moving, fast growth environments, and works in executive and board roles in private, public and non-profit organizations. Rhiannon believes in the need to support entrepreneurship and innovation to deliver meaningful change in business, community, and social development. She actively supports this belief by serving as a mentor and angel investor.
In this interview, Rhiannon talks about why she pursued angel investing and the intersection between industry and innovation. As a senior executive provides support and capital as an angel investor to startups and scale-ups explaining that it’s both a profitable and rewarding experience and very few things come close to that. Rhiannon discusses Sandpiper Ventures’ investment philosophy and a recent investment in cleantech company DeNova, based out of Halifax, Nova Scotia.
Breaking news
Record Year for Women Angel Investors as Participation Rises 40%
Aug. 10, 2021
Angels invested $102.9 million in 2020, bringing the eleven year total of angel activity to a cumulative $1.12 billion in Canada. Women comprised 24% of the members of Canadian angel organizations in 2020, a 40% increase on 2019 and 2018 (17%) and 70% increase on 2017 (14%). Initiatives such as The51, Women’s Equity Lab, Capital Angel Network (SheBoot), and others are creating new pools of capital and opportunity for women entrepreneurs. Going forward, the same needs to be done for founders with a focus on BIPOC founders (Black, Indigenous, and People of Colour). Backbone Angels, for example, support women and non-binary founders with a focus on investments in Black, Indigenous, and Women of Colour-led companies. The launch of new angel organizations aimed at addressing the needs of underrepresented founders, such as The Black Presidents Club will activate new investors and create new pathways to capital for entrepreneurs.
On Thursday August 12th at a national roundtable, the National Angel Capital Organization (NACO) will discuss its upcoming 11th annual report on angel investing in Canada. By highlighting both the investment activity and year-on-year investment trends, this report provides insights into angel investment trends across Canada. This evidence-based analysis emphasizes the importance of angel investing to Canada’s innovation economy.
Key Findings
40% increase in women angel investors with 24% participation compared to 17% in 2019 and 2018, up from 14% in 2017
39% increase in the number of investments with angel organizations making 416 investments, compared with 299 in 2019. This was a lower figure than in 2018 (583 investments).
Cumulative angel investment was $1,119,227,541 between 2010 and 2020 (inclusive)
The total amount of investment in 2020 was $102.9 million, 37% lower than in 2019 ($163.9 million) and 28% lower than in 2018 ($142.8 million). It is notable that COVID-19 relief programming favoured venture capital investment and venture-backed scale-ups through the BDC Capital Bridge Financing Program. Despite the much greater scale of angel investing there has been and has continued to be an absence of any targeted national programming to encourage and support angel investment activity.
Initiatives such as Backbone Angels, The51, Women’s Equity Lab, Capital Angel Network (SheBoot), and others are creating new pools of capital and opportunity for women entrepreneurs.
The launch of new angel organizations aimed at addressing the needs of underrepresented founders, will activate new investors and create new pathways to capital for entrepreneurs.
The average (mean) amount invested per company in 2020 was $289,792, which was significantly lower than in 2019, although similarly reflects the average per company early-stage round size seen in 2018.
There was a modest contraction of investment activity from Q1 to Q2, a sharp drop in Q3, and recovery in Q4 of 2020.
Central Canada (Ontario and Quebec) accounted for 72% of investments in 2020 compared with 25% in Western Canada and 3% in Atlantic Canada.
Follow-on investments accounted for 34% of angel organizations’ investments in 2020.
The majority (66%) of angel organizations are organized in not-for-profit structures, while 31% are for-profit entities.
Prominent Canadian entrepreneurial successes that raised angel capital and grew into large scale companies, include Slack and Thinkific in Vancouver; Verafin in St. John’s; ClearCo, WealthSimple, Q4, TopHat in Toronto; Paper in Montreal; Jobber in Edmonton; and Neo Financial in Calgary.
Key Recommendations
Establish a national equity tax credit to incentivize investment activity and provide early-stage companies with growth capital. Well-established incubator, accelerator and angel-readiness training programming in tandem with angel investor training, can increase the effectiveness and integrity of such a tax credit.
Prioritize and support investor education such as the NACO Academy curriculum which leverages the collective wisdom of over 4,200 angel investors, helping participants to attain the knowledge and real-world skills needed to thrive in the competitive investment industry. With new investors entering the ecosystem, access to education is key to ensuring informed decision-making and sustainable investment activity over the long term.
Building differently means identifying and amplifying new voices and creating new systems and structures that provide all entrepreneurs with the tools they need to bring their ideas to life. Entrepreneurship can lift up entire communities by generating wealth, creating jobs, and introducing new innovations that provide a greater quality of life for our communities.
About Angel Investing
Angels are community-based investors that take a “leap of faith” on entrepreneurs before institutional investors, such as venture capital firms. Angel investors fuel the “scale-up” pipeline that flows into the venture capital industry by putting capital-at-risk in local communities. As the main source of capital for Canada’s entrepreneurs, angel investors are in virtually every community and play a vital role in the development of local entrepreneurial ecosystems by providing funding, mentorship, and access to client networks.
About NACO
Over 20 years, the National Angel Capital Organization (“NACO”) has emerged as the bedrock of Canada’s innovation economy and the only national platform for both angel investors and the innovation hubs that support Canada’s entrepreneurs. NACO’s growing membership of over 4,200 angel investors, 45 incubators and accelerators, and 44 angel groups have pioneered the “access to capital” movement for Canadian entrepreneurs. Over the past ten years, NACO members have invested more than $1 billion into Canadian companies. www.builtbyangels.com.
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NACO Spotlight
Women in STEM Advocate Jennifer Francis
Aug. 18, 2021
Jennifer is a technology mentor, advisor and angel investor. She is a former executive in the information technology and services industry, with experience in Enterprise Software, SaaS, Go-to-market Strategy and Strategic Partnerships. An advocate for girls and women in STEM, Jennifer holds board positions with Invest Ottawa & the Wabano Centre. She is also a Co-Founder of the SheBoot bootcamp program.
In this interview, Jennifer talks about why she pursued angel investing, and the work she has been doing as Chair of the Capital Angel Network specifically to increase the diversity of the angel investor community in Ottawa. Jennifer also talks about the SheBoot program, an investment-ready bootcamp for women founders in Canada and shares her advice for new investors around how to build a sustainable and successful portfolio.
NACO Spotlight
Angel Investor and Community Leader Cindy Rogers
Jul. 28, 2021
Cindy is a CPA, FP&A and has over 25 years’ experience in Accounting and Finance mainly in the Canadian Energy sector. She strongly believes in and advocates for equity, diversity and inclusion (EDI) in her community.
Currently, she is VP of Finance & Administration for Project Reconciliation and last year, she joined The51 as part of their newly assembled Community Council. Cindy has been volunteering as a mentor with the Calgary Region Immigrant Employment Council (CRIEC) since 2013 and joined the CRIEC Board of Directors in 2018.
She is part of the investment advisory group for the Uceed Social Impact Fund, a University of Calgary initiative. Cindy is also a subject matter expert for the Association for Financial Professionals (AFP) where she joins other international finance leaders to develop their Financial Planning & Analysis (FP&A) certification.
Most importantly, Cindy has two young girls (11 and 13) and would love to see them grow up in an environment where there is no glass ceiling for them.
What interests you about angel investing?
It's a unique opportunity to feel a part of a brand-new venture or business without having it as your "day job".
Tell us a bit about your angel group.
The51 is an amazing group of women sharing knowledge and investing in an area that was (is) so underserved. It is a very supportive environment and I am always learning something new.
What motivated you to consider angel investing?
It was a way to diversify my investments and support local entrepreneurs.
Tell us about a startup you are excited about and what you find most exciting or inspiring about the work they are doing.
Avatar Innovations is one to watch, a progressive company that is rethinking the Canadian energy transition (another topic I am passionate about) through focused training, and implementation and funding energy innovation.
What is your view on mentorship and how do you see it intersecting with angel investing?
I believe mentorship is a powerful way of learning and getting support (moral or otherwise). I serve on the Board of a company I invested in and agree that network connections from angel investors can really help get the word out for a new business.
What advice do you have for someone who is considering angel investing?
Invest in something you really believe in, not just something that MIGHT provide you a higher return on your hard-earned dollars.
We know that entrepreneurs are vital to the Canadian economy. What do you think is the greatest opportunity for our startup ecosystem as we look towards rebuilding our economy?
Resources like The51 can really help entrepreneurs by providing resources to develop financial and business acumen. Women entrepreneurs have more access to capital because of groups like The51.
UCeed Social Impact fund is a pre-seed and seed stage investment fund that is designed to accelerate transformational social impact in communities. Eligible businesses can apply and access funding and mentorship through this initiative.
If you had three wishes for Canada’s entrepreneurial ecosystem, what would they be and who would they impact?
More access to capital - especially for entrepreneurs who do not have the network of family and friends that are in the financial position to be an angel investor.
More groups like The51 that provide support, education and funding.
Mentorship - I would love to see each entrepreneur be linked up with mentors in their sector. No one is good at everything so a sounding board can be so valuable to learn from each other’s challenges or get some foresight into potential risks to watch out for.
NACO Spotlight
Okanagan Woman’s Angel Network Co-Founder Camille Saltman
Jul. 28, 2021
Camille is an award winning Canadian-American entrepreneur who, over 20 years in San Diego, led two multi-million-dollar ad and PR agencies, two successful tech companies - the first in digital health and second in bio-composites - and the business accelerator CONNECT, credited with building San Diego's leadership as one of the top tech clusters in the world. She is now CMO of INCA Renewtech.
She is the Co-founder and General Partner at Okanagan Women’s Angel Network, a chapter of Women’s Equity Lab and the Co-founder of the Okanagan Sustainability Leadership Council and Chair of their Connected Communities Initiative.
What interests you about angel investing?
For me being an angel investor and tech entrepreneur means being a community builder and a lifelong learner. Our new angel investment group is designed to increase the number of women angel investors, to remedy the gender gap in startup funding and to aid women business owners who are bearing the brunt of economic fallout from the pandemic.
Tell us a bit about your angel group.
The Women’s Equity Lab (WEL) was founded in Victoria in 2017 to engage more women in early stage investing with the goal of achieving gender parity. Currently less than 20% of angel investors are women. To date, under the WEL banner, Victoria is about to launch their fourth fund, and Vancouver their second. Our Okanagan fund was launched in 2021 and is the largest to date with 30 partners. We also now have groups forming in Winnipeg, Toronto and the Silicon Valley. Partners in the investment round meet monthly and learn how to invest in companies as they vet deal flow and make investment decisions on which companies the group thinks will generate the best return. Each participant invests $5,500 and the investment pool ranges from 125,000 up to $150,000.
What motivated you to consider angel investing?
I became an angel investor because in the US there is something we refer to as the “Valley of Death” for early-stage startups. There is virtually no government support of pre-seed/seed ventures. I confronted the Valley of Death daily in the US as both a mentor and an entrepreneur. The journey showed me the huge gaps in the system faced by entrepreneurs – and because of that – when we were able – my husband and I invested in a number of very interesting startups in cleantech and healthcare.
Tell us about a startup you are excited about and what you find most exciting or inspiring about the work they are doing.
I am particularly excited about the entrepreneurship@UBCO graduate venture, TasteAdvisor. The company was founded by three women and recently launched the very popular Wines of BC Explorer app in partnership with Wine Growers BC and now has just launched PEC Wine Explorer – a partnership with Prince Edward County Wine Association in Ontario. The company’s technology platform matches wine tourists to wines they’ll love with an accuracy greater than 91%. https://tasteadvisor.co
What advice do you have for someone who is considering angel investing?
Looking back on the results my husband and I have personally achieved as individual angel investors, we both believe we would have been better served if we had been part of an organized angel group. Our due diligence process would have been much more rigorous and effective thanks to the broader range of skill sets that an angel group brings together.
We know that entrepreneurs are vital to the Canadian economy. What do you think is the greatest opportunity for our startup ecosystem as we look towards rebuilding?
Canada’s tech community is strengthening and diversifying our economy by building robust innovation ecosystems across the country. NACO, angel funds and accelerators like Accelerate Okanagan in Kelowna are playing an important role in this journey. This is enabling us to reverse the brain drain and attract top talent to Canada. To illustrate, here in Kelowna there are already almost 700 tech businesses that make a $1.7B impact with a workforce of about 12,500.
If you had three wishes for Canada’s entrepreneurial ecosystem in 2021, what would they be and who would they impact?
Distribution of capital that supports women, BIPOC and other underrepresented individuals equitably.
More education about the diversity of regions and the economic distinctions of raising capital in these different regions for both investors and entrepreneurs.
More recognition and support for all types of entrepreneurs and small businesses including businesses making a social or environmental impact.