The Why, How & What of Angel Investing in the Philippines. Prepared by Joseph de Leon, Consultant for Gravitas Prime & Leadership Committee of Manila Angel Investors Network [MAIN] for the First Xavier Alumni Conference (10 September 2016).

1. Start-Up Jump Start:
Angel Investing in the Philippines
10 September 2016
Joseph de Leon
jdl@gravitasprime.com

2. This ride is not for everyone...

3. Who doesn’t want to invest
early in the next Unicorn?

4. In reality, they probably may
not appear as advertised
“Siberian Unicorn”
Elasmotherium sibiricum

5. ...and
‘Cockroaches’
might prove
to be the
better bet

6. Why be
an Angel

7. Beyond making money,
think about making a difference

8. What is 5%
of your net
worth?

9. `
Photo Credit: Khailee Ng [500Startups]
Wisdom from Jason Calacanis [Investor in over 150 startups, founder of LAUNCH
Fund & buyer of the first Tesla Model S.}

10. https://techcrunch.com/2012/10/13/angel-investors-make-2-5x-returns-overall/
Angels Do
Make Money,
Data Shows
2.5x Returns
Overall

11. How do you
vet if a
start-up is
a smart bet

12. Fundamentals Founders
Funds Fun
Fit
How can I
make a
difference?
Does the business
make sense?
What’s the ask?
Will I enjoy this?
Can they deliver?
Ask better questions
Every Angel should have their own investment criteria and approach, this is mine.

13. Fundamentals Founders
Funds Fun
Fit
How can I
make a
difference?
Does the business
make sense?
What’s the ask?
Will I enjoy this?
Can they deliver?

14. Does the business
make sense?
 Does it solve something that matters to one person?
 Are there enough of those people to matter?
 Can they really reach that market?
 Do they have any real distinct advantage? Will it last?
 Do they have Minimum Viable Product or Vaporware?
 Focused or everything to everyone (nothing to nobody)?
Is it actually a viable business in the making?
Or is it a hope, a hobby or a What the Hell?

15. Lean Canvas Project Name Date
Version
Cost Structure
Fixed & Variable Costs
Customer Acquisition costs
Distribution costs
Hosting
People, etc.
Revenue Streams
Sources of Revenue/ Value
Revenue Model
Life Time Value
Revenue
Gross Margin
Problem
Top 3 Problems
Existing Alternatives
Solution
Top 3 Features
Key Metrics
Key activities you measure
The Work & Action
Unique Value
Proposition
Single, clear, compelling
message that converts
Unawares to Prospects
Unfair Advantage
What do you have that can’t be
easily copied or bought
Channels
Path to customers
Customer Segments
Specify your Target customers
PRODUCT MARKET
High-Level Concept
X for Y Analogy
(Familiar + Twist)
Early Adopters
Characteristics of your ideal
customers/ clients
Fortune favors the prepared mind

16. Fundamentals Founders
Funds Fun
Fit
How can I
make a
difference?
Does the business
make sense?
What’s the ask?
Will I enjoy this?
Can they deliver?

17. Can they deliver?
 Are the competent?
 Are they trustworthy?
 Are they passionate and resilient?
 Are they working on the business or in the business?
 Are they a complete team? Solopreneur?
 Can they fulfil the roles to complete a Transaction Cycle?
Even if this idea isn’t a winner, are they?

18. Those who transact
powerfully, thrive.
https://www.influenceecology.com/

19. All transaction have distinct phases suited to
distinct personalities

20. September 27, 2016 / 7:00 AM Manila
Discover what your Transaction Personality might be-
http://tinyurl.com/InventorPersonality
Featured Panel:
Brandon Hollembeak, Co-Founder & CEO, Buzz On Stage (Chicago, IL)
Joseph de Leon, Strategy Consultant, Gravitas Prime (Philippines)
Louisa Da Silva, Founder & CEO, DS Cleaning (Pembroke, FL)

21. Fundamentals Founders
Funds Fun
Fit
How can I
make a
difference?
Does the business
make sense?
What’s the ask?
Will I enjoy this?
Can they deliver?

22. What’s the ask?
 How much do they need?
 What will they use it for?
 What will they do if they don’t get it?
 How much are they giving up?
 What is the basis? Math or Magic?
 What are they on and can I have some?
Getting from idea to IPO is a rollercoaster
You need to price in the risk because they won’t

23. Start-ups need to successfully make
5 pivotal transitions to achieve scale
Opportunistic
 Strategic1
Project
 Product2
People
 Process3
Ownership
 Partnership4
Relationship
 Brand5
Source:
Adapted from Built to Scale: Taking Middle-Market Companies to the Next Level, Sawney (Northwestern University, 2014)

24. Fundamentals Founders
Funds Fun
Fit
How can I
make a
difference?
Does the business
make sense?
What’s the ask?
Will I enjoy this?
Can they deliver?

25. Will I enjoy this?
 The product?
 The people?
 The process?
 The problem?
 The potential?
If you aren’t having fun then
you aren’t getting your money’s worth…

26. Fundamentals Founders
Funds Fun
Fit
How can I
make a
difference?
Does the business
make sense?
What’s the ask?
Will I enjoy this?
Can they deliver?

27. How can I make a
difference?
Be an Angel, an Exit or an Asset
 Personal Mentorship & Practical Experience
 Business Networks for Sales & Scale
 Supporting start-ups, events, orgs & legislation
 Provide services that cater to start-ups
 Your company could buy a start-up
You are worth more than your money…

28. The Philippine Start-Up Ecosystem
A (very) rough guide…
Idea
Incubation/
Acceleration
Exit
(M&A, IPO or
Enterprise
Entrepreneurs &
Innovators
Incubators /
Accelerators
Exchanges &
Corporations

29. How do I
start
Angel
Investing

30. MAIN.ph
RP’s Largest Angel Network
Access to 200+ Startups
Sidecar Fund c/o AIB
For Enquiries & Applications, email:
SECRETARIAT@MAIN.PH

31. Special Thanks:
John Echauz (XAC)
Khailee Ng (500 Startups)
Jojo Flores (StartUpPH)
John Patterson (Influence Ecology)
Manila Angel Investors Network (MAIN)