We are looking for companies that have an established proof of concept and are poised for growth. We invest across multiple industries but have a core strength in business products & services, media, internet/web services, mobile, and financial services. We tend to avoid investments that require significant capital and stringent regulatory approval in order to get their product to market.
We look for teams of high-quality entrepreneurs with a track record of leadership and performance – either in the company’s specific industry or in prior entrepreneurial ventures. We also look at the team’s passion for and commitment to the new business idea, and its ability to inspire confidence among future stakeholders, including employees, potential customers, and investors.
Most Kakatiya Angels deals will have low pre-money valuations and the key reason for this is that it gives the investor the potential for a nice return at a modest exit valuation. It also allows for some protection against future round dilution. It is in the entrepreneur’s best interest to have the valuations of subsequent rounds increasing and avoiding bad will and anti-dilution ratchets.
We prefer to invest in first-of-a-kind new ideas, rather than incremental enhancements to common products and services. Is this a nice-to-have, or a need-to-have product or service? However, we approach highly complex, esoteric technologies with caution. The concept behind the technology must be proven and verifiable. Further, we avoid science projects that don’t demonstrate a clear path to commercialization.
Why Join?People join Kakatiya Angels for many reasons. They may include:
- A determination to ensure that worthy companies receive the funding they need and have the opportunity to succeed
- An interest in participating in this investment sector
- An opportunity to utilize the extensive skills and interests developed in your professional and personal lives
- An opportunity to follow and study emerging trends in many industries
- An interest in working directly with early-stage entrepreneurs as domain experts and advisors.