Angels in British Columbia
Preliminary Survey Results
This study examines the views and experiences of angel investors, many of whom make use of the tax credit program, and whether the patterns of angel investment have changed and in what ways. An online survey was conducted by Rocket Builders in collaboration with UBC Sauder School of Business.
Angel investors focus on technology companies but not on any specific industry sector.
The preferred stages of the companies receiving angel investments are the pre‐launch and beta‐ testing phases.
Financial returns are the most important motivators for investment; but other factors are also significant motivators, notably to remain involved with the industry and to help the community and next generation.
Over the lifetime of one company, most investors (59.4%) invest $50 to $500K.
Approximately half (49.5%) of angel investors invest between $20K and $100K per year. A significant number of investors (16.8%) make annual angel investments of $100K to $500K.
Investors invest on average in 2.07 companies per year.
Most angel investments are made locally: 74.62% of B.C. angel investors invest in B.C.
Without the B.C. tax credit program, 73.8% of respondents said they would invest less, 11.9% said they would not invest at all. Under that scenario, 41.3% said they would seek to invest more in the US, 23.8% more in Canada outside B.C.
More than two thirds of angel investors (71.4%) prefer the direct tax credit program (EBC program) over the indirect program (VCC program)