Today's episode explores three ideas that caught my attention:
The math of representation – Loretta shared that having just one woman in a VC decision room doubles or triples funding odds for women-led companies.
The promotional pivot – Loretta & Angela often coach female entrepreneurs to treat negative questions (which are more commonly asked of women due to unintentional bias) as promotional opportunities. It’s advice that can flip defensive energy into offensive positioning.
Relevance as retention driver – Members of Golden Seeds stick around because the work keeps them intellectually current. The group’s 84% renewal rate suggests that learning, not just returns, is a powerful motivator for angel engagement.
I explore these ideas and more with Loretta McCarthy, Co-CEO and Managing Partner of Golden Seeds and Angela Allen, Managing Director and Founding Member of Golden Seeds Chicago.
Loretta McCarthy is Co-CEO and Managing Partner of Golden Seeds, the largest angel network in the United States investing exclusively in women-led companies - having deployed nearly $200 million across 260+ companies since 2004. Angela Allen is a Managing Director and Founding Member of Golden Seeds' newly launched Chicago Chapter, bringing 30+ years of operating experience including a 10x exit from an all-female executive team. Together, they bring both the macro perspective of building a national movement and the ground-level insight of launching a new local chapter.
During our conversation, Loretta & Angels share:
A clear framework for evaluating IP strategy - focusing on rational decision-making process over patent counts.
Why patent insurance at $200-1000/month should be considered essential compared to D&O coverage.
The dangerous economics of contingency litigation - breaking down why cases need $50M+ potential returns.
Sector-specific IP strategies - contrasting approaches for medical devices vs software products.
How to evaluate a founder's IP thinking through their provisional patent decisions.
A practical perspective on patent value focused on realized versus potential revenue protection.
What We Cover:
0:00 Introduction
02:37 Exciting Developments at Golden Seeds
04:04 The Origin Story of Golden Seeds
05:11 Chicago Chapter: A New Beginning
08:39 The Evolution of Women-Led Investments
10:50 Challenges and Progress in Angel Investing
14:14 Strategic Growth and Chapter Model
18:42 Motivations for Joining an Angel Network
25:55 Due Diligence and Market Assessment
33:18 Addressing Bias in Investment
Check out the entire show library and follow via Apple Podcasts, Spotify, and YouTube.
Connect with Loretta McCarthy & Angela Allen
Golden Seeds’ LinkedIn: https://www.linkedin.com/company/goldenseeds/
Loretta’s LinkedIn: https://www.linkedin.com/in/loretta-mccarthy-b885a/
Angela’s LinkedIn: https://www.linkedin.com/in/angelahillsallen/
Connect with Andrew
Newsletter: https://thediligentobserve.com
Website: https://pitchfact.com/
Stuff We Reference
Golden Seeds: https://goldenseeds.com/
OppenheimerFunds: https://www.linkedin.com/company/oppenheimerfunds/
NanoPattern: https://www.nanopatterntechnologies.com/
Every Body Eat: https://everybodyeating.com/
Loyola University: https://www.luc.edu/
DePaul University: https://www.depaul.edu/Pages/default.aspx
ACA’s Angel Funders Report: https://angelcapitalassociation.org/angel-funders-report/
Know someone who would enjoy this episode? Share it with them!
P.S. Your feedback is important to me. Also, it tells the algorithms to pay more attention, which helps me out a lot. If you enjoyed this episode, hit the “like” button or leave a comment with your thoughts.
All opinions expressed are personal and may not reflect the views of the individual’s organization or of The Diligent Observer. Not investment advice.
