Since 2003, TCA has been an innovator in Angel Investing by deploying a series of sidecar funds that invest alongside individual members. The first incarnation was called Seraphim Fund, and that was followed by ACE Fund 1, ACE Fund 2 and ACE Fund 3.
The current structure is through annual funds associated with each of TCA’s three largest chapters:
- TCA-SD’s ACE Annual Funds are annual funds making investments of $250K, $300K and $500K. The first 3 ACE Annual Funds (ACE 19 – ACE 21) have grown from 112 – 210 members and $2.2M to $4.7M between ACE 19 and ACE 21. More info is available at www.tcasandiego.com
- TCA-OC’s inaugural annual fund (TCA OC Fund 20) provided seed capital to 19 promising early-stage companies in a myriad of industries. TCA OC is now actively searching for disruptive early-stage companies for TCA OC Fund 21. Fund 21 is now active, in search mode, seeking to provide startup capital and mentorship to deserving entrepreneurs. Like the first fund, TCA OC Fund 21 will typically invest between $100K to $250K, with members often investing individually alongside the Fund.
- TCA LA’s Annual Funds are annual funds making $100k minimum investments up to $200k. The first TCA LA Fund I had $1.2M from 55 members while TCA LA Fund II has exceeded $1.2M and remains open for new TCA members through Q1 2021. More info is available at www.techcoastangels.la
Tech Coast Angels (TCA) created the Angel Capital Entrepreneur Funds I, 2, and 3 (ACE FUND) as an investment opportunity to both accredited individuals and institutional investors. The ACE FUND provided investors with the opportunity to participate in a diverse pool of dynamic early stage companies selected utilizing the vast expertise and experience of the TCA and its membership. The ACE FUND focused on companies with early exit potential providing investors with early liquidity. One of the most important benefits for members of the ACE FUND was access to deals closed to angel networks such as TCA because they may have been oversubscribed, or are from geographic areas not visible to TCA or its partners. ACE Funds I,II, and III are closed to new investments. View the ACE Fund III PPT presentation by Dave Berkus HERE.
ACE Fund Allocations
InvestED
InvestED connects vetted borrowers to trusted lenders in emerging markets. An Android app vets the borrowers through a customized training program. Performance within the program, user data, and market research yields a credit score. Microfinance banks (MFIs) access user profiles through a web dashboard --> provide loans via mobile money.
Iridia
Iridia's mission is to transform data storage with the development of ultra-high density memory chips based on DNA.
LeaseLock – Optional exit in Secondary Offering in 2019 (31x multiple)
LeaseLock takes the worry of approval off the mind of a renter, and the worry of rent non-payment off the mind of a landlord--on any lease we cover. Renters pay an affordable fee that allows us to guarantee that we can cover their lease payments should they default. Landlords have the advantage of enjoying our service FREE of charge, while residents benefit from the quick approval process of our happy, secure-feeling landlords.
Leaseville
Leaseville provides lease to own consumer products to low income customers through three online sites. Our clients are typically earning less than $50,000 a year and Fico scores of less than 640. They buy a range of products from us including computers, cameras, appliances and jewelry.
LendAmend – Acquired by FIS in 2013 (3.4x multiple)
As the premier service focused on leveraged loan amendments, LendAmend is where amendments come together℠. LendAmend LLC is for professionals in the leveraged loan market to streamline the amendment process and provide administrative support to participants in the $1 trillion leveraged loan market. Our solutions facilitate electronic signature page delivery, integrated compliance monitoring, increased transparency, standardized amendment procedures, and assist lending institutions in managing all aspects of the bank loan amendment process online. Registered members include CLO managers, banks, hedge funds, insurance companies, asset managers, mutual funds, and other institutional investors in the syndicated bank loan market. LendAmend LLC is a privately held company headquartered in Los Angeles, CA. For inquiries or to register, please contact [email protected] or call us at (310) 421-4644.
Lennd, Inc
Lennd is a next generation event & venue operations platform. We are centralizing and streamlining event and venue operations in order to access, manage and process the billions of dollars in internal event payments, so event teams can work smarter, move faster and increase their ROI.
Midas Education
Midas Education - The Midas platform is a SAAS that integrates the 17 "siloed" data analytics systems in school districts, state departments of education, and federal department of education. Midas also has a Multi-Dimensional Data Explorer that cleans up the data of existing systems and allows Midas a foot in the door of districts in a non-threatening way
MovoCash, Inc
MOVO combines a free mobile bank account, peer-to-peer (P2P) money transfer, and mobile payments to deliver a P2P2P™ (Peer-2-Peer-2-Purchase) solution for the 80 million strong Under-banked Millennial Generation. The application leverages proprietary robotic payments technology to create on demand issuance of digital prepaid & gift cards.
Pacific Mercantile Bank – IPO (PMBC) in 2000 (6x multiple)
Pacific Mercantile Bank opened for business March 1, 1999. Today, Pacific Mercantile is one of the largest banks headquartered in Orange County and serves small- and middle-market businesses with a full range of loan, deposit and cash management products and services. The Bank, which is FDIC insured and a member of the Federal Reserve System, provides a wide range of commercial banking services to businesses, business owners and business professionals through its combination of traditional banking offices and comprehensive, sophisticated electronic banking services. Pacific Mercantile Bank operates a total of eight banking offices in Southern California, located in Orange, Los Angeles, San Diego, and San Bernardino counties.
Paradigm Select Assets
Paradigm Select Assets is an asset fund for investment in distressed debt.The purpose of the fund is to deliver consistently high returns that are uncorrelated to the equity markets.Paradigm purchases under performing debt, assetizes the debt claims into legal judgments, and then liquidates the portfolios on the secondary market. Our “Recovery Valuation Approach” utilizes proprietary methods, as well as comprehensive financial models based upon $2B of processed debt history, to uncover value niches for investment in the credit markets. The Opportunity: Paradigm Select Assets has positioned itself for a unique opportunity in the debt buying arena. Two recent factors have combined to dramatically bring down prices of debt portfolios, while at the same time making larger quantities of high quality debt available on the market. Banks are charging off business and consumer loans earlier than a year ago, and this has resulted in higher availability of fresh debt paper. Also, the tightening of credit terms has forced several larger debt buyers onto the sidelines, bringing down prices of charged off debt to the lowest levels seen in the last 10 years. The reduction of prices by more than 50% from a year ago has created a unique buying opportunity in the market.