GreenAngel Energy Corp. is the first publicly-traded angel investment fund. Retail investors can participate in high-growth, angel-level investment opportunities normally reserved for accredited investors (i.e. owns financial assets exceeding $1,000,000 or has a net annual income over $200,000).

Listed on the Toronto Venture Exchange as GAE, GreenAngel Energy can be purchased by anyone in any amount, with no term commitments or fund management fees – just your broker costs.

GreenAngel Energy’s focus is on commercializing new technologies that produce renewable energy, improve energy efficiency or use renewable energy resources. Companies that deploy or manage technologies and processes that reduce greenhouse gas emissions will also be considered.

If you believe the technology sector is worth including in your portfolio but are concerned about the high risk of picking companies yourself, then GreenAngel Energy offers a unique and intelligent solution.

Angel capital fills the gap in startup financing between seed-funding and formal venture capital. Seed-funding usually limits out at a few hundred thousand dollars, and venture capital funds do not usually make investments under one million. For this reason, angel capital is a common second round of financing for high-growth startups, accounting for almost as much investment as all venture capital funding combined. (In 2013, angel investments in the U.S. totaled US$24.8 billion compared to $29.4 billion from venture capital).

♦ A report authored by Robert Wiltbank of Willamette University and Warren Boeker of the University of Washington showed angel investors, on average, realized a 27% compounded annual rate of return on their capital (to read this report, please click here)

♦ A report from William R. Kerr and Josh Lerner from Harvard Business School found that angel-funded startups have historically been less likely to fail than companies that rely on other forms of initial financing (to read this report, please click here)

As with most Angel Funds, in addition to providing strategic capital, GreenAngel Energy also mentors and advises the companies it invests in by drawing on the knowledge, experience and contacts of its Board of Directors.

A fund is only as good as its managers. GreenAngel Energy’s Board of Directors is comprised of seasoned professional entrepreneurs in the technology sector. With over 100 years of collective experience in angel investing, these directors identify, qualify, supports and grows the ventures added to GreenAngel Energy’s portfolio of companies. There are no fund management fees; just your broker costs.

How does GreenAngel Energy Corp. make money?

GreenAngel Energy’s business is to invest in startup technology companies. By providing management services and financial assistance to emerging tech companies, GreenAngel Energy builds early-stage equity positions that can be liquidated through divestiture as these ventures mature. By investing in a growing number of tech companies, GreenAngel Energy increases the opportunity for its investors to gain angel-level returns.

To augment this core business, GreenAngel Energy also generates income from three other sources:

♦ Managing PowerHaus Technology Ventures (VCC) Inc., which earns a 20% “carry” in any upside gains, with no downside
♦ Charging fees for various services that it may provide to technology companies such as management consulting and corporate finance services
♦ Selling financial instruments to investors; for example, interest-bearing notes that provide short-term secured bridge financing to technology companies, such as GreenAngel Energy’s RRSP-eligible 9% Notes

How does GreenAngel Energy find the most promising technology startup companies?

Along with stringent due diligence, GreenAngel Energy utilizes the angel investment community, the BCIC New Ventures Competition and personal networks to seek out the technology companies best equipped for success. If the technology and management team can pass the test of dozens of seasoned angel investors, can place in the top ranks of British Columbia’s largest New Venture Competition and can offer a reasonable valuation, GreenAngel Energy is poised to invest.

With all the good reasons listed above to consider GreenAngel Energy as an investment, we must remind you that investing in us isn’t for everyone.

Although GreenAngel Energy is sold on the TSX, and a semi-liquid asset, it’s not designed for day trading. More accurately, it’s a “buy and hold” stock. Like traditional angel investments, returns tend to be slow at first. It’s no different for GreenAngel Energy. In order to get the best result from your investment in GreenAngel Energy, you should hold your investment for longer than other non-venture-level stocks.

GreenAngel Energy doesn’t provide dividends to its investors. If a fixed-income security is what you’re looking to invest in, then GreenAngel Energy may not be the investment for you. GreenAngel Energy prefers to take any cash flows received from exiting a company and re-invest those funds into a new early-stage company. As GreenAngel Energy adds more technology companies in its portfolio, the probability increases that one or more of those companies will succeed and provide an exponential return to investors.