The Tacoma Angel Network, a group of first-stage enterprise investors, will join forces with Zino Society, a like-minded group of angel investors based in Seattle.
Brian Haynes, TAN chairman, made the announcement this week with John Rodenberg, of the TAN membership committee, and Kate DesRosier, operations and “dealflow” manager at Zino.
“We’ve partnered with Zino,” Haynes said, noting that the alliance will allow “more stable and quality-assured deals” while freeing the Tacoma group from certain operational duties.
Where members of the Tacoma group have invested about $10 million since 2006, Zino, founded in the same year, has seen investments of $18.8 million. TAN currently counts 24 members, where DesRosier said Zino figures “about two hundred or three hundred” investors and sponsors.
“We’re looking at increasing the number of deals our members see,” Haynes said.
The Tacoma group now attends eight yearly presentations featuring three prescreened, investment-seeking entrepreneurs. With the added resources from Zino, the group will be able to view four presentations at their meetings.
“We have committed to have Zino provide dealflow for eight meetings a year,” he said.
Zino will now prescreen candidates for investment by Tacoma members.
The criteria for selection of the successful candidates have yet to be decided. Candidates may still apply to the Tacoma group.
The local group also will have the opportunity to join investment “pools,” where members commit a set amount of money that goes to selected winners of entrepreneurial competitions.
Currently, investors in the group also are able to invest whatever amount they choose in whatever enterprise catches their interest.
The alliance, Haynes said, “allows us to focus on events and membership.”
“We’re excited about this partnership,” DesRosier said.
Her group sponsors 11 investment forums yearly, she said.
“One of the struggles has been getting new members,” Haynes said. “There aren’t a lot of professional angel investors.”
Membership in the Tacoma group costs $350 annually, Rodenberg said. While membership in Zino is set at $995, no decisions have been made to increase the Tacoma fees. The partnership, Haynes said, “should help us recruit members.”
“We’re going to be affiliated with Zino, but not merged,” Rodenberg said.
Impetus for the alliance came when Haynes contacted the Seattle group. A meeting was held in late September, he said.
“We have a very limited set of volunteers, but a great membership base,” he said. “There’s not a lot of people who have the time to dedicate to a screening committee” and other duties.
The previous model, he said, “was not sustainable. Now, we can focus on growth. This is the perfect answer.”
Zino employs several staff members to conduct the society’s day-to-day business.
Haynes said the TAN policy committee had made the decision to seal the proposal to affiliate. The membership was informed at a meeting earlier this month.
“After speaking with Brian, Zino felt it could help with TAN’s dealflow and extend our dealflow process with them,” DesRosier said.
“Being able to extend to Tacoma is exciting, and will be positive for both groups.”
C.R. Roberts: 253-597-8535 c.r.roberts @thenewstribune.com
