WHAT TYPE OF COMPANIES DOES E8 FUND?
E8 is focused exclusively on early-stage cleantech companies whose innovations will increase the sustainability and health of our planet. Please refer to What We Fund for more detail and browse our Portfolio page for examples.
HOW MANY DEALS GET PRESENTED OVER A YEAR?
Our screening committee currently approves between 24 and 32 companies each year to present, some new, some updates and follow-on presentations.
HOW MANY COMPANIES HAS E8 WORKED WITH?
E8 has historically funded about one out of every four deals that made it through our screening process. Since our founding in 2006 through mid-2018, E8 members have invested in 81 deals.
HOW MUCH CAPITAL ARE COMPANIES TYPICALLY RAISING?
$250,000 to $1 million is typical. Occasionally we will consider larger investment requests.
It is unlikely that E8 members themselves will collectively invest more than $500,000 in any one financing round, but we regularly syndicate deals needing up to a total of $1 million with other local or national angel groups.
WHAT IS THE TYPICAL RANGE OF INDIVIDUAL INVESTMENTS?
Individually, E8 members typically invest $25,000 to $100,000 per deal. Some occasionally contribute more.
If companies receive funding from E8, we ask them consider then taking smaller $10K investments from our members, with a voting proxy if needed. The decision is theirs to make, because of the implications on the cap table. However, companies have often raised considerable additional funds from this pool of smaller investments.
HOW DO I APPLY?
Please consult the Apply for Funding page, which lists the 4-part process.
IS THERE A COST TO APPLY?
The first-time application fee of $200 is being temporarily waived, beginning October 1, 2018, thanks to the generosity of E8's Sponsors.
HOW LONG DOES IT TAKE FROM WHEN I APPLY UNTIL I CAN PRESENT?
Ideally, completed, paid applications are due 45 days before the meeting at which you hope to present. If your application passes screening, you will be notified about 2-3 weeks before the presentation date.
In some instances, E8 can accommodate a faster application cycle.
WHERE AND WHEN ARE YOUR PITCH MEETINGS HELD?
E8’s monthly member meetings alternate between business locations in Seattle and the Eastside. The latter are currently held in downtown Bellevue, WA. Presentations are usually given mid-day, and lunch is provided.
WHAT IS THE PRESENTATION FORMAT?
Typically, our member meetings have 50 to 60 attendees, comprised of members, their guests who are also Accredited Investors, sponsors, and staff and fellows.
Presenting companies give their pitch from a podium on the stage of a conference room with a state-of-the-art audio-visual system. A PowerPoint presentation is required. Sample products, prototypes, and demonstrations are very effective.
Successful applicants are given 10 minutes to tell their story followed by a separate Q&A session. This process is more fully described under Funding Process .
HOW DO E8 MEMBERS MAKE INVESTMENT DECISIONS?
To make the best use of entrepreneurs’ valuable time, E8 members screen deals, hear presentations, perform due diligence and negotiate terms as a group. However, we make investment decisions as individuals. The E8 Fund shares in the due diligence process, if interested, and makes its investment decision separately.
If selected for a follow-on presentation, you will be given the email addresses of the E8 members who wish to delve deeper into your opportunity. Interested members form informal due diligence (DD) groups and share the work involved. Normally, one member takes the lead and is the principal point of contact with the company.
During DD, the company will be asked for a considerable amount of detailed information and documentation. DD groups often ask to meet with company representatives a number of times. The process varies considerably depending on the entrepreneurs and members involved, the nature of your business, and the complexity of the deal.
E8 works hard to typically complete the DD funding process in 2-3 months. A well-thought-out business plan with milestones and documenting, in advance, the elements listed in Selection Criteria, will speed up the DD process and help meet this timeframe.
HOW DO I KEEP E8 MEMBERS UPDATED ON OUR PROGRESS?
E8 Members who invest in your company will expect quarterly updates over email.
Companies are also given occasional opportunities to update the broader membership, which may lead to additional investments. This is done, by invitation, during a brief section at one of our 8 regular monthly meetings or at one of our social gatherings and portfolio showcases which are held throughout the year.
It benefits companies to regularly update their profile on ProSeeder™, the online tool used by E8 to track deal flow and portfolio companies.
WHO RUNS E8?
E8 is run by a volunteer Board of Directors and a paid part-time Executive Director.
IF I PRESENT TO E8, HOW CAN I BE ASSURED THAT ALL INVESTORS ARE ACCREDITED?
E8 recognizes that our presenting entrepreneurs and their legal counsel must take ‘reasonable steps to verify’ that all investors are accredited, so as not to run afoul of the SEC requirements for generally solicited offerings.
E8 has voluntarily taken the steps become an “Established Angel Group” (EAG) under the umbrella of the Angel Capital Association, of which it is a member in good standing, to give you this assurance.
E8 meets the six requirements for certification:
E8 is a private group formed to invest in early-stage companies.
All group members are accredited through self-certification and understand the risks associated with this investment class.
E8 has a code of conduct.
E8 has an established deal and investment process.
E8 has a process for members to to periodically affirm their accredited status.
E8 has a strong vetting process for members.
More details and assurance that E8 is on the list of currently valid Established Angel groups can be found at the Angel Capital Association website.