Definitions

The following definitions have been adopted by BioAngels Inc.

Angelsoft – A web-based interactive platform used by BioAngels for the tracking of deals and keeping related files and communications in one, easy to find place. 

Confidentiality Agreement (CDA) – A signed agreement between BioAngels members and the entrepreneur that sets out the terms how confidential information between the two parties will be treated.

Deal Room – A secure and private “virtual room” that is the collaboration centre between the entrepreneur and BioAngels members.  The entrepreneur will be able to store deal-related documents, exchange messages and receive information from BioAngels members.  BioAngels members can comment on their level of interest in this deal.  The deal room is only shared by BioAngels members and is not visible to any third party.

Due Diligence –The process of disclosure to investors of all information pertinent to a deal.  This includes carefully checking, reviewing, and verifying all facts and important aspects of a deal before proceeding; verification of financials, operations, employment, income, obtaining a credit report; review of the appraisal; valuation and status of titles, patents, freedom to operate, IP status and other proprietary information.

Executive Summary of Business Plan – A summary document that describes an organisation's current status and plans for several years into the future. It generally projects future opportunities for the organization, maps the financial, operations, marketing and organisational strategies that will enable the organisation to achieve its goals. Note:   BioAngels only invests in Life Science companies, and generally companies which have a substantial proportion of their activities in South Australia. 

Investee – A company, individual or group of individuals in which an investment has been made by individual members of the BioAngels group.

Investment Criteria and Targets – BioAngels members seek investments in promising early-stage companies that have been established by entrepreneurs and are seeking both capital and mentoring assistance. Our members are committed to providing mentoring support to each investee and will call upon other members to assist with this input.  We expect that entrepreneurs seeking investment will have developed a suitable business plan for the company that addresses the following; market opportunities, current equity holders, directors and managers, IP and/or freedom-to-operate information, status of product or service development, future milestones linked to financial inputs, expectations of mentoring/financial support from BioAngels, exit strategy for investors

Investor Members – A groups of individual BioAngels members that have individually invested in a company.

Lead Member – A BioAngels member that has taken the lead in mentoring the investee company in which BioAngels members have made an investment.  The lead member usually becomes the mentor of the investee and forms the major communication conduit between the investee and the BioAngels group members. The lead member may sit on Board of the investee company and reports on the progress of the investment to members at meetings.

Life Sciences – Life Sciences include and covers: medical (diagnostic, therapeutics, technology and devices); agriculture (plant, wine, marine, animals and biosciences); veterinary (diagnostic, therapeutic, technology and biosciences); environmental biosciences, biomaterials and applications; healthcare products, technology and applications; other technologies with medical or biological applications; bioremediation; natural products.

Pre-seed Stage – A company that is in the process of being formed and has no investors other than the founder; it may in the bioscience context be wholly owned by a university or research Institute

Presentation Guideline – Presentations made by entrepreneurs to BioAngels members needs to be arranged through the Executive officer.  Pitches are usually held at their monthly members meeting, held on the second Wednesday of each month.  Typically, pitches are presented in a visual format (powerpoint presentation or video), addressing most or all of the investment criteria.  The presentations should last for no more than 20 minutes plus 10 minutes of questions and should be restricted to non-confidential information.  Hand-out notes are encouraged.  Feedback on the outcome of the presentation will be provided to the entrepreneur within 14 days after the presentation.  Prior to presenting to BioAngels, the investee will have discussed with a BioAngels member the suitability of the pitch for Angel Investment.  Further, a basic business plan, including an executive summary has been prepared and has been made available to members via the Angelsoft funding request application.

Seed stage – A company that is established with a CEO, a business plan and intellectual property assigned to it or owned by it, but typically no sales record as yet; the first external investment at this stage would normally change majority ownership from the founding university or other public sector institution to a combination of the inventors/entrepreneurs and the new investors;

Start up stage – A company that is passed the seed stage and already has a number of investors; it may still have no product sales but would have a clearly defined path forward.