For several years, angel groups have tried to cooperate. Dennis Serio lead the charge, and created a hold harmless document similar to the one they use in Ohio, and Silicon Valley. It means that angel groups hold each other harmless on due diligence.
We won't sue each other if another group misses something. It's akin to buyer beware.
Hyde Park Angels has co invested with funds, VCs and some angel groups. We are open to it. We'd like to do more.
Personally, I think that if angel groups in the midwest co-invested, it would spur more activity in the entire entrepreneurial ecosystem. Not less. I don't think it increases competition, but creates a bigger pie.
At the MRUN.us conference, we held a "cooperation meeting". We came up with some tangible ways for groups to better cooperate and all the stuff we agreed to at the table is being typed up, and sent out the individual groups for approval. Once we all agree, we can create a meaningful system.
The name of our group is MCOIN, or the midwest co-investment network. It stretches from Nebraska to Ohio, and Minnesota down to St. Louis. LeAnne Tourtellotte <[email protected]> runs the group. She does due diligence work for State Line Angels.
But, at the end of the day we are just service providers. The real quesiton is what does our marketplace want us to do? How do they want it to work?
So, entrepreneurs. If you could design a perfect system where angel groups worked together throughout the midwest-how would you design it? What protocols would you put in place? How would the system work most efficiently for you so you could get the benefits of angel groups, and have less havoc working with all of them?
What are the biggest impediments to your success with angel financing today?
