Famous Quotes
"Well informed people know it is impossible to transmit the voice over wires, and were it possible to do so, the thing would be of no practical value"
Boston Post, 1874 about the telephone
This student run angel fund was one of the first undergraduate only angel investment funds.
Rines Fund
This is when investors can demand at least one IPO in a specific period of time and force the entrepreneur to file a registration statement.
Demand Registration Rights
A subscription metric that shows the money that comes in every year for the life of a subscription (or contract)
What is annual recurring revenue (ARR) model
Jeff has his PhD in this subject
What is data analytics
"Chance comes to the prepared of mind"
Louis Pasteur about discovery
In his first angel investment, he received a 50% share of this well-known company.
Ian McGlinn (body shop)
A debt obligation of a company which is convertible into stock
Convertible Debenture, Convertible Debt
The company may or may not be able to make the product that is described in the pitch.
What is product risk
Jeff's wife's alma mater
What is Wake Forest University
"When the Paris Exhibition closes in 1878, this innovation will close with it and no more will be heard of it"
Erasmus Wilson, Oxford Professor about the lightbulb
Queen Isabella and King Ferdinand established the Spanish Inquisition and made the first known angel investment in this dangerous endeavor hoping to make a profit in the spice trade.
Christopher Columbus
Option to purchase a security
Warrants
The value a company promises to deliver to customers should they choose to buy their product.
What is a value proposition?
The color of Jeff's house
"The way to succeed is to keep one's courage and patience, and to work energetically"
Vincent Van Gogh to his brother Theo, 1886
He made the first angel investment in Larry Page and Sergey Brin in 1998
Who is Andreas Bechtolisheiem (invested in Google)
A stock that has all the rights of preferred stock but also provides the opportunity to share in the firm's success through conversion to common stock
Participating preferred stock
This is a threat the start-up usually faces once they begin to gain some customers
What is market risk/competition
The location that Jeff's son currently lives
What is DC
A French word which means 'to fulfill needs and wants through innovation and starring businesses' first appeared in the French dictionary in 1723
These two angel investors took a chance on a product that made its debut at the 1878 Paris Exhibition
J.P. Morgan and Spencer Trask
An investors' right to get an amount of money that must be returned to investors before a company's founders or employees can receive returns in the case of the sale of the company or bankruptcy
Liquidation preference
This occurs when one party in an angel investment, typically the entrepreneur, is in possession of more information than the other
What is information asymmetry
Something Jeff still keeps in his wallet
What is his draft card