How Strong is Our Angel Network?
Angel Ops: a simple framework for assessing angel network strength
A Reflective Season
The next 6 weeks tend to be a uniquely reflective season for most of us.
Seasons change.
We take time off over the holidays.
One year ends and a new one begins.
With all that transition, it’s natural to take stock of our personal and professional lives and consider what adjustments are needed.
Angel Network Operators are Reflective Too
For many leaders in the angel investing community, I expect that reflection will involve considering questions like:
How good is our process?
What could we improve next year?
Where are our blind spots or gaps?
Polling members, hosting strategy meetings, and looking at typical metrics like membership numbers, dollars invested, deals closed, etc. can be helpful steps.
But this year, I’d like to introduce a new tool for self-assessment: Angel Ops.
The Observer Express
Don’t have time to read the entire post right now? No worries, here are the main points:
Angel Ops is a framework illustrating the high-level process at a world-class angel network. It can be quickly used as a self-assessment tool by angel network leaders.
There is a simple 7-step process to effectively apply the tool.
I’ve written posts on every part of the process, and have included a comprehensive list of these articles.
Need help thinking through how to best apply the framework to your network? Let’s chat.
Background
Over the last few months, I’ve been systematically walking through each step in the Angel Ops process.
But let’s go back to the beginning - what is Angel Ops?
Angel Ops is a framework illustrating the high-level process at a world-class angel network.
It’s not meant to be explicitly prescriptive but rather focuses on addressing the core “jobs to be done” at each stage. The framework is designed to be flexible enough to apply to any angel group.
Angel Ops is a tool that we use regularly, and that anyone running an angel network can also use to identify opportunities for improvement.
But, you may ask, what’s the best way to use this assessment tool?
Here’s how.
7 Steps
Step 1: Begin with the first phase of Angel Ops, Source. Assign your community one of 3 possible ratings for each job within that phase: strong (denoted with a “+”), average (denoted with a “+/-”), or weak (denoted with a “-”). Make notes as to why you assigned each grade.
Step 2: Review the 3 ratings you assigned, and consider anything else you feel is relevant to that overall step. Make notes. Based on the 3 ratings and any supplemental considerations, assign a rating for your network between 1 and 5 stars.
Step 3: Repeat for each of the subsequent steps.
Step 4: Identify any jobs with a “-” by them, and identify the category with the lowest star rating.
Step 5: Develop specific plans or initiatives to level up that category or job.
Step 6: Execute new plans developed in Step 5 for a year.
Step 7: Reassess at least yearly.
Here’s an example of what this might look like:
Comprehensive Guide
Stuck on something?
I’ve got you covered.
Here’s a summary of each job, along with links to complete articles explaining each part.
General Topics
Introducing the Angel Ops Framework
Clarifying the Purpose of an Angel Network
Step 1: Source
Main Job: Bring in sufficient deal flow.
Progressive Outcome: Apply - Founders apply to the network.
Supporting Job 1: Build & Maintain Relationships
Supporting Job 2: Market the Network
Supporting Job 3: Manage Inbound Interest
Step 2: Evaluate
Main Job: Identify which deals are a good fit for the network.
Progressive Outcome (PO): Invite - The best applicants are invited to present.
Supporting Job 1: Screen Candidates
Supporting Job 2: Finalize Selections
Supporting Job 3: Share Feedback with Applicant
Step 3: Engage
Main Job: Connect the best companies with the network and gauge member interest.
Progressive Outcome: Proceed - Deals with sufficient interest move on to receive deeper scrutiny.
Supporting Job 1: Prepare & Distribute Investor Materials
Supporting Job 2: Run a Great Pitch Event
Supporting Job 3: Assess Member Interest
Step 4: Close
Main Job: Help members make a final decision on whether or not to invest.
Progressive Outcome: Commit - Members invest.
Supporting Job 1: Address Questions
Supporting Job 2: Create Deal Documentation
Supporting Job 3: Support Investment Process
Step 5: Monitor
Main Job: Regularly consolidate and distribute investment status updates.
Progressive Outcome: Follow-On - Members consider investing in following rounds, driving re-engagement with the network at a future date.
Supporting Job 1: Track Company Metrics
Supporting Job 2: Share Updates
Supporting Job 3: Benchmark Performance
Final Thoughts
At the end of the day, it’s up to network leadership to drive change. A great framework and list of ideas are only useful if put into practice. If you or your community are struggling to define how to level up, shoot me a note. I’d be happy to chat.
What do you think?
What tools have you found helpful for assessing angel network health?
Weekly Observations: 3 Lessons Learned
Enthusiasm matters.🌟
This week I reviewed 200 applications for a part-time bookkeeper position we’re looking to fill. The site I am using includes a clever “points” feature, where each applicant receives a limited number of points they can allocate to jobs they apply for. The basic interpretation is that more points spent = more interest and enthusiasm for the position. With hundreds of applications on the table and limited time to review, I found myself only considering applicants above a certain threshold. I think the principle applies more broadly than just interviews, but it was interesting to see myself gravitate towards those with stronger interest.
Taking time off is humbling.🦃
This week, I took a few days (mostly) off to celebrate Thanksgiving with my family. It was wonderful and terrible at the same time. I love my job (most days), and one of the best, yet most frustrating, parts about it is that there are always more projects to work on than there is time in the day. Making the conscious decision to not work on those projects is, at least for me, really tough. Plus, taking a break creates a real backlog for the days after I return. By truly resting and engaging with my loved ones, I’ve found myself feeling deeply humbled. It reminds me of the reality that I’m limited, can’t do everything, and that it’s a very good thing the world doesn’t rely on me to function.
Learning to fall well is an essential life skill.🧗
This weekend I got to go outdoor bouldering with some friends for the first time. Here’s a video of my first “real” outdoor fall. Here’s another video from, like, my 12th. I learned a lot from that experience, but one thing in particular that stuck out was the importance of learning to fall well. When climbing outdoors, one of the most important pieces of equipment is the crash pad - if you miss it, it’s going to hurt. So when you fall (not if, when), you better not miss it. And you better have great teammates spotting you just in case. I think this is applicable to a lot of life but to entrepreneurship in particular.
Weekly Links: 3 Things I Found Interesting
Everywhere VC⚖️| Substack | Pre-seed valuations are more than just a “price.”
Business Insider🍰| YouTube | The rise, fall, and… re-rise (?) of Twinkies.
The Gold Man💍| YouTube | Lessons on storytelling from The Rings of Power.
Thanks for reading, have a great week.
-Andrew
If you enjoyed this post, please share it with a friend, colleague, or anyone else who may benefit.
P.S. - I recently finished creating The Angel Network Toolkit: 90 Resources for Cultivating a Thriving Community of Pre-Series B Investors, and I’m sharing it with anyone who refers a friend.
How did I do this week?
About Me
I cultivate flourishing.
I'm also the CEO of PitchFact, where we help angel networks conduct efficient and collaborative diligence. I'm a proud husband, aspiring father, and grateful friend. My love languages include brisket, bourbon, and espresso.