15b - Sand Hill - E442-PDF-ENG - CASE E-442 DATE SAND HILL ANGELS TO FUND OR NOT TO FUND Just before 9 p.m on the second Thursday in February 75 members

15b - Sand Hill - E442-PDF-ENG - CASE E-442 DATE SAND HILL...

This preview shows page 1 - 2 out of 23 pages.

C ASE : E-442 D ATE : 09/05/12 Arar Han (MBA ’09) and Professor Ilya A. Strebulaev prepared this case as the basis for class discussion rather than to illustrate either effective or ineffective handling of an administrative situation. Please note that some identifying details of the four start-up profiles have been changed to meet the teaching purposes of the case while preserving the companies’ confidentiality. These include the actual valuations and funding amounts. This case was made possible by the generous support of Mr. John W. Jarve. Copyright © 2012 by the Board of Trustees of the Leland Stanford Junior University. Publically available cases are distributed through Harvard Business Publishing at hbsp.harvard.edu and European Case Clearing House at ecch.com, please contact them to order copies and request permission to reproduce materials. No part of this publication may be reproduced, stored in a retrieval system, used in a spreadsheet, or transmitted in any form or by any means –– electronic, mechanical, photocopying, recording, or otherwise –– without the permission of the Stanford Graduate School of Business. Every effort has been made to respect copyright and to contact copyright holders as appropriate. If you are a copyright holder and have concerns, please contact the Case Writing Office at [email protected] or write to Case Writing Office, Stanford Graduate School of Business, Knight Management Center, 655 Knight Way, Stanford University, Stanford, CA 94305-5015. S AND H ILL A NGELS : T O F UND OR N OT T O F UND Just before 9 p.m. on the second Thursday in February, 75 members of Sand Hill Angels (SHA) gathered in a large conference room at a Palo Alto law firm for their monthly review of start-up investment opportunities. After a relaxing holiday season, SHA members were in high spirits. Many had spent January planning their annual finances, and all were looking forward to kicking off their angel investment activities for the year. This monthly “Dinner Meeting” had started at 6 p.m., with SHA members chatting and noshing on catered sushi and burgers. For the rest of the evening, they had heard live pitches from four start-up companies. Each start-up had originally applied for funding through SHA ’s online portal. A panel of SHA members had vetted the applications, sending promising ones through to the “Screening Meeting.” There, a volunteer group of members determined which opportunities should graduate to the Dinner Meeting, the final round of reviews in SHA’s funding process. Two start-ups presenting at this Dinner Meeting had previously presented to SHA’s Screening Meeting, while two had been “fast tracked” directly from the application stag e. As the last presenting team left, board member and current President Sherman Ting rose from his seat. It was his role this evening to ask if any members intended to “soft commit” investments in any of the start-ups. If members pledged $100,000 or more in soft commitments on the online portal following the Dinner Meeting, SHA would initiate a formal due diligence process. Ting
Image of page 1
Image of page 2

You've reached the end of your free preview.

Want to read all 23 pages?

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes