BEHIND THE RAISE WITH PSYT

In our latest Behind The Raise we caught up with Nick Begley, founder of Psychological Technologies (PSYT) on disrupting the self-help market, peoples’ willingness to invest in their wellbeing and the time and attention needed to execute a successful fundraise.

Tell us about PSYT?

We all want to improve and we usually turn to books, audiobooks and videos. But how much do they actually help us change? 

If we’re honest, not much. That’s because passively digesting information isn’t enough. Reading about how to ride a bike isn’t going to magically allow you to ride a bike, and the same is just as true when it comes to self development. It needs to be put into practice.  

So that’s what we do – take proven content, with proven demand, and deliver it in a more effective format, helping people put advice into practice, to create real change. Like Masterclass, we work with authors to leverage their established brands and fanbases. 

Why did you decide to raise investment? 

To build on the success of our MVP.  Our MVP was based on one book and the funding will allow us to build a multi-book platform which will have multiple courses in one place. 

What is your top tip for anyone raising investment for the first time? 

It takes a great deal of time and attention, so start early. Make sure you have enough runway and try not to be involved in any other big projects at the same time. The process is time consuming, not just the pitching,  but the follow up emails and calls as well. 

What attracted investors to your company?

I think there were 3 things; the previous experience of the team, the results of the MVP and market timing.  I was previously the Head of Research at Headspace, and my cofounder ran the world’s largest research study into day to day happiness out of the LSE. 

Our MVP product, The Anxiety Solution gave great proof points, through user reviews, metrics and Apple App Store endorsement and we had signed a number of fantastic NYT bestselling authors. 

The popularisation of meditation, mental health destigmatisation, and the willingness of millenials and Gen Z to invest in their wellbeing, has led to the market exploding in recent years, giving rise to many 9 and 10 figure company valuations in the space. Although the market is growing rapidly there is still a big gap between learning what to do and actually applying the advice to your life, which is the gap we fill.

My biggest fundraising mistake was…

Trying to run the company at the same time as fundraise. It’s a huge job for one person and takes all your time, don’t think you can be as productive on other things at the same time. 

Why did you choose to use Angel Investment Network? 

AIN was recommended by a friend and they have a huge network. Ed was helpful, proactive and professional and their terms are reasonable.

Behind The Raise with LifeSaver

In our latest edition of #BehindTheRaise, we caught up with LifeSaver Co-Founder, Archie Wilkinson, about setting up a B-Corp, the importance of a great team and why getting your documents in order is so important.

Tell us about Lifesaver:

We sell & return power banks to charge your phone. With more smartphones than toilets in the world, we are focused on providing power on the go in a sustainable way. 

The power bank market is estimated to be worth $27bn by 2024 and we want to change this industry to be cleaner, circular & greener. We are the 199th certified UK B-corp, with a hire & return model across events and venues reducing battery waste as we recharge and reuse. 

We fill all our power banks with renewable energy saving 13 grams of CO2 per charge & recycle our batteries to areas with no electricity by making off-grid solar lights with Liter of Light

Why did you decide to raise investment?

To scale. 

We had proven a number of unknowns and required investment to accelerate our growth. We are an ambitious company with big goals to change an industry to be more sustainable, raising investment helps us to develop our product, hire the best people thus driving further sales. 

What is your top tip for anyone raising investment for the first time?

Keep at it. Listen & adapt as you go. You will have multiple pitch decks and always try to get feedback from investors that say no, and evolve. It is also important to have good documents (i.e. articles of association, shareholders agreement, term sheet etc.) SeedLegals is a brilliant and cost effective platform to streamline super slick documents and integrate your cap table. They also offer completely free support & advice on top of this.  

What attracted investors to your company?

Team, vision and a real problem that needs solving in a better way. Ultimately they are buying into the team & vision of the future. They say investors will invest in a great team with an ok idea over a great idea with an ok team, it is important to have people around you that make you feel like the weakest link! If you don’t have people you are learning from then you don’t have the best team. Don’t rest until you do. 

My biggest fundraising mistake was…

Possibly not having watertight company documents to start with, this delayed investment. SeedLegals helped us out on this and now we have very good documents with articles that align to our B-Corp status. 

Why did you choose to use Angel Investment Network?

Angel Investment Network is a great way to reach multiple angels in an automated and simple way to engage and inform investors. The network will open you to more investors and thus help in improving your business.

Keen to hear more?

If you would like to see what other companies are up to on Angel Investment Network, or are interested in raising funding yourself, you can find your local network here.

Making It with Julian Seydoux

Julian Seydoux is a rare breed in Europe, an entrepreneur who has set up a company, scaled it, exited it, and is now investing and advising the next generation of start ups. As Julian has experience of Angel Investment Network, both raising funds and investing, we decided to pick his brains.

What impresses about his story is the belief that having completed his market research with intense focus and determination, he could take on the ultra competitive Chinese market, launching Vai Milno, a chain of gelato stores, and enter an industry that he had no prior experience of. 

He explained how he arrived in China with ‘two bags and nothing else’. That sense of determination clicked with investors, but also tying in the traction and a word that keeps coming back in our conversation ‘momentum’.

‘We explained the story of all the achievements we had made until then, which in hindsight was extraordinary fast. We signed several partnership agreement, persuaded the chef to join us from Italy. So investors when they saw this, could see that something was moving fast, something was happening.’

Switching to being an entrepreneur, seemed a natural next step for Julian after his job in M&A, working in emerging markets, he learned where there were exciting opportunities. In the city he had honed the skills necessary to evaluate quickly whether there was a business opportunity. 

Julian was finishing a part time degree at London Business School ‘One of my classmates approached me and said why don’t we set up a company? I think China would be a great place to start a business. And I thought if I’m working 18 hours a day, I might as well do it for myself!’

As Julian’s gelato business gained traction in the Chinese market, opportunities to exit began to appear. ‘‘I had a prior opportunity to exit, but we didn’t take it, I thought this is working, let’s just continue what we’re doing and focus. But at some stage life happens. You just need to decide whether to move on.’

Julian then thinks logically about how you determine when is the right time for a founder to move to on from his business. Splitting entrepreneurs between those who have the skills and desires to start a business, and those suited to growing it.

‘For the founders you need to decide what kind of founder you are – are you more interested in the startup craze at the beginning, or are you a later stage managerial founder who can get the processes right?’

In fact Julian has seen later stage VCs frequently appoint new CEOs, bringing new people to the board and key hires into the company, ensuring that they have the right skillset to grow the company. In Julian ’s words: ‘At one stage you have to think could someone else do better. One of the challenges for founders is acknowledging there’s a limitation of what they can do. 

And all these considerations came to mind when I decided it was right for me to leave the company and exit.’ 

In terms of getting your company so that it’s in a position to exit, researching who are the potential buyers early on pays dividends . ‘Something that I was keen to do early on was two way partnerships with people who could potentially be acquirers.’

How do you ensure that you get the deal you want? ‘Just remember – at the end of the day, don’t be afraid to negotiate, everything is negotiable!’

Julian is sanguine about his success on selling his business, he describes the emotions he endured as ‘part of me sadness and part of me relief I had gone through the process, and other parts of me were thinking about what to do next. I have seen some very sad people who have exited with plenty of cash, they are just struggling afterwards’. 

Now an Investor, Julian is often shocked by how bullish founders are before remembering that he too was like that. He feels that he can quickly get a sense of if there is a fit – he looks at spaces where there are potential and where his skills can add value, and  when talking to founders quickly gets a sense as to whether the team can execute. 

His parting advice for founders ‘if someone offers you money, take it!’ he says, before laughing. 

Keen to hear more?

If you would like to see what other companies are up to on Angel Investment Network, or are interested in raising funding yourself, you can find your local network here.

#SixtySecondStartup with Halal Fresh

Saima Duhare is the founder of Halal Fresh, the UK’s first halal non subscription meal kit service predominantly catering for the Muslim community.

  1. What does your company do?

Halal Fresh is a meal kit service providing freshly preportioned ingredients, with an easy to follow recipe card to cook great tasting meals. Making dinner times stress free and enabling our customers to be adventurous in the kitchen, as well as supporting their healthy lifestyles.  

  1. Why did you set up this company? 

 My vision was to bring back the joy of cooking by offering every Muslim household the opportunity to cook homemade fresh meals from around the world, making dinner tables exciting to sit at. 

I grew up in a household where food was the catalyst of bringing people together, my Grandma, Mum and Aunty are amazing cooks and would cook foods from around the world and we would always have family and friends over. I felt we were losing the importance of having a home cooked meal which gives an opportunity to spend quality time with family and friends over a great meal.  

Given the rise of fast food and the ease of it, coupled with  the busy lives we lead, I felt this aspect of our life  was slowly disintegrating. So Halal Fresh was born to make people’s life easier and offer varied, healthy delicious meals they cook from scratch at home, in addition to being mindful of our carbon footprint since everything is proportioned so there is no food waste and all of our packaging is recyclable 

  1. How did you get your first customer? 

We had no budget for marketing and when we launched we pretty much prayed we get customers, lucky for us people were googling  for a halal meal kit service, thus, my first customer was a Dr who kindly posted our service on  Instagram, result of that we approached various influencers from different professions,  and and from that we organically built and grew ourselves this is going back in April 2019 and still we haven’t spent any money on marketing apart from a offering a recipe box in exchange for a shout out, plus our lovely customers a promote us

  1. We knew we were onto something when? 

We were approached by a journalist from the Independent and at the time we had no clue which publication she was from until I delivered the box and we were included as being one of the best recipe boxes in July 2020.

  1. Our business model:

    We are an online non subscription business model, which people enjoy because they can use the service without feeling tied in, and that works for us and them.

    We’re currently only serving the London region, however, we are looking to expand nationally. We are growing slowly but surely and organically.  And the interest we receive daily in bringing it to other parts of the UK is promising and exciting. We are learning as we develop, progressing and improving our offering and service.
  1. Our most effective marketing channel has been: 

Instagram and  word of mouth from our customers and being in several reputable british and British Asian papers has helped us and put us on the map as a 5* Halal Recipe Box.

  1. What we look for when recruiting: 

We are a very small team, and the team we have are very passionate about food and the industry. We look for people who are creative and open to learn as much as we are, and contribute to what we are trying to achieve, to make people’s lives easier, and can work on their own initiative.

My graphic designer for instance has had very little experience but her work excited me. I tend to go with my gut feeling, of course they need to have the skill but not necessarily the experience.  

  1. The biggest mistake that I’ve made is:

    Having no experience in opening a business I have made lots of mistakes, but  one of them for instance, when we had our soft launch I spent £6,000 to test the model on 40 people, in hindsight I could have tested the model on 20 people and tested it for much less.

    I created the MVP as if though it were a fledgling business, with 9 recipes, 2 chefs, all the packaging and pre portioned ingredients from suppliers, which I could have easily pre portioned myself and less recipes and 1 chef.
  1. We think that there’s growth in this sector because:

    The halal sector is booming – in 2019 it was valued at  £31bn, considering there are only 4.1 million Muslims in the UK, that staggering. It’s very exciting times for the food industry despite the current climate. We are becoming more mindful about what we put into our bodies and becoming conscious consumers.

  2. Is there anything your business is doing to help in your community or with the wider crisis?

    We are heavily involved with our local food bank which was set up by a friend of mine, and have volunteered, distributed food as well donated food. This is something we are also passionate about, which is giving back and helping those that are vulnerable in our community, so much so we are working on embedding this into our business model.

Keen to hear more?

If you would like to see what other companies are up to on Angel Investment Network, or are interested in raising funding yourself, you can find your local network here.

Behind The Raise with Pharma Sentinel

We first met Rav Roberts, CEO of Pharma Sentinel, at one of the virtual events that we hosted. He recently successfully closed his investment round, and we are pleased to hear the learnings he has to share:

Tell us about Pharma Sentinel: 

Pharmasentinel.com is a UK Consumer & Business healthtech helping each person to lead a safer life, by leveraging AI to provide trusted, timely & personalised medicines and medical conditions news, alerts and medicines data intelligence.

 PharmaSentinel launched its consumer app ‘medsii’ (Medicines information for Me) in October 2020 on the App Store & Playstore and already has over 15,000 app downloads in 150 countries. 

Medsii provides information on side effects, drug safety alerts & recalls, and clinical trial opportunities for participation, in an engaging, patient-centric Twitter-style interface.

Why did you decide to raise investment? 

2 reasons

1) To accelerate our launch into the USA, our key market. 

2) To accelerate the launch of our Business SaaS data product.

What is your top tip for anyone raising investment for the first time? 

Persist

It took us months of pitching to get our first investor, then bit by bit, the floodgates opened. 

Secondly, use Twitter to link with very experienced USA VCs, e.g. Brad Feld, Jason Calacanis, Elizabeth Yin, who will give you tons of *free* advice AND *free* training on pitching, negotiating with VCs etc.).

What attracted investors to your company?

 1) Very experienced founding team (we all met in Business School 16 years ago). 

2) Healthtech very topical, even before Covid-19, with more people living longer & taking personal responsibility to manage their health to live quality lifestyles. 

3) Great business model, with globally scalable consumer & business products. 

My biggest fundraising mistake was…

Initially not being succinct during pitches. (Second mistake was not using an ethernet cable to pitch).

Why did you choose to use Angel Investment Network? 

I got a couple of tips from friends, then tried it and, (to my surprise), angel investors started to contact me and actually invest!

Sixty Second Startups – FastWater Dispenser

We caught up with Wayne Edward Clarke, Founder of Fast Water Dispensers, who explains how he is revolutionising water dispensers in the Philippines.

What does your company do?

We manufacture a revolutionary new kind of water dispenser for refillable blue 5 gallon water bottles.

Fast Water Dispensers Product Demo

Why did you set up this company?


I come from Calgary, Canada, where the tap water is top quality drinking water. When I moved to the Philippines I wasn’t used to using refillable water bottles for drinking water, as everyone does here. The long amount of time it took to draw a coffeepot full of water from a standard water dispenser to make coffee every morning became more frustrating until it was intolerable.

I searched the stores and online retailers for a faster water dispenser, and found that there were none available.

It took a few days of research, design, and fabrication to produce the item that I now consider to be my proof-of-concept prototype, and I used it successfully for months. I realized that there must be millions of other people who are as frustrated with their water dispensers as I had been, and I recognized that this was an opportunity that was too good to let slip away.

The key to our success will be:


-A product design that’s a disruptive improvement over all the existing competitors
-A tough, quality, environmentally friendly product that should last a lifetime for a price that’s competitive with cheap plastic Chinese dispensers
-The very low cost of labor in the Philippines
-0% taxes for 6 years and zero import/export fees in the Philippines Special Economic Zones
-Utilizing the training techniques of elite athletic teams to achieve world-class employee performance -A manufacturing process that achieves an unbeatable investment-to-production ratio by utilizing very ingenious jigs and simple machines but no complex or expensive machines.

Our most effective marketing channel will be:

-Online retail sites such as Amazon, Lazada, Alibaba Express, etc.

What we look for when recruiting:

Bright, adaptable, fast learners. This applies to our office workers and to our factory workers, who will also need good hand and tool skills. At the pace we’ll be working we’ll need to rotate the assembly line teams from station to station fairly often to avoid repetitive motion injuries and employee burnout and to keep morale high, so they’ll each have to learn every task in the factory.

Once we reach sales of about 2 million FastWater Dispensers per year in it will be worth transitioning to a completely automated robotic assembly line. We’ll then use our highly trained and integrated manual manufacturing teams to build and operate the assembly line for our next ingenious product design, of which I have many, and the entire cycle should repeat about every three years.

The biggest mistake that I’ve made is:

Not researching Alibaba and the Chinese suppliers represented there sufficiently before researching my costs for equipment and materials. I’d prefer to buy from local Philippines suppliers, but there’s only a few of them and they’re hard to find and communicate with compared to the crowds of companies on Alibaba. The Chinese companies can be challenging to communicate with because of language and cultural issues, and I wish I’d learned more about that before I started. Having dealt with many of them to cost out my business plans, it’ll be a lot easier when I start purchasing.

We worked with AIN because:

AIN seemed like the method of raising financing that was most likely to get results. There seems to be a lot of fundraising services that specialize in online and high-tech businesses, and a few who cater to emerging market businesses like the guy who wants to upgrade his small pineapple farm, while AIN represents a much broader spectrum of what I think of as ‘normal businesses’, like mine.

How has coronavirus impacted your business and your fundraising plans?

-In-person networking has gone from being the most important part of any fundraising strategy to being almost impossible. I’m not sure if we’ll be able to reach our fundraising goals without it, but we’re giving it our best shot!

How are you coping with lockdown, and what is your strategy for it?

I’m doing pretty well, thanks. I already worked online from home, so my life hasn’t changed much. It would be very hard if I were single, but luckily I have a fulfilling relationship so we can keep each other company. I’m a mask and face shield guy, I take every precaution, because I’m 57 so I’m in a moderately high-risk group, and I’m not taking any chances.

Keen to hear more?

If you would like to see what other companies are up to on Angel Investment Network, or are interested in raising funding yourself, you can find your local network here.

Digesting 2020

In many ways there were two sides to 2020. On the one-side, there has been a monumental personal loss to so many families, we’ve all been taking the strain mentally due to our daily lives being uprooted, even if we have yet to admit it to ourselves, and many good businesses have been torn apart by COVID. 

But though searching for positives might seem futile, there have been some, and they are noteworthy.

Change = business opportunity

When people have a problem that needs solving, that is often when there is an opportunity for a new business to emerge. 

When life is stable, people incur major problems relatively infrequently; most people’s problems have been solved, and there are less opportunities for businesses to be created.

When COVID happened, simultaneously putting the population at risk, disrupting the supply chain and dampening demand for many products and services, suddenly there were a lot of problems that needed solving.

For prospective entrepreneurs this is actually a good thing – people needed to:

  1. Keep safe whilst out and about during Covid
  2. Communicate effectively with their team whilst WFH
  3. Make childcare work when nurseries and schools were closed.

These new problems and others are creating opportunities for the businesses of tomorrow to emerge. 

Talent 

This might sounds counterintuitive, but in the good times it’s hard to create a great business. Why? A lot of the top talent gets sucked into corporates, and consumers are less inclined to change their behaviour, because, well, they don’t need to. 

Economic shocks mix things up – Thomas Vosper was made redundant at the beginning of the COVID crisis, he’s recently completed an investment round for an innovative new retail concept that he since started – you can read about it in his recent blog

Efficiency

And whilst COVID undoubtedly has caused huge disruptions, some companies in some industries were quickly able to shift into the ‘new normal’. 

Working from home was something that was alway going to happen, probably in a decade or so. When COVID happened, almost everyone had to do it, straight away. 

But this had a few benefits that weren’t necessarily foreseen, people by way of being forced to do it – actually became good at using video calls. 

Meetings where people would have travelled across town and back, and set up 1 hour meeting to justify the time, suddenly became more efficient half hour Zoom calls. A huge time and efficiency saving. 

Investor Outlook 

When the pandemic first hit, there were signs that investors were being more cautious – some had taken hits on their portfolio and dropped back on the number of the investments that they made, and pushed harder on valuations.

However, investors have adjusted to the new normal, for each in person meeting they have given up, there are many more Zoom and virtual meeting that they are taking. 

Lockdown enforced many people to become savers, as there were so few opportunities to go out and spend money.  Investment activity has rapidly obtained new momentum.

The upshot is that we are fortunate to just had our record ever month at Angel Investment Network, and feel well placed and optimistic to enter 2021, despite the continued uncertainty. We’re mindful that it remains a challenging time for many.

Wishing you a happy festive season, even if it’s not what you hoped for, we hope that you at least get the quality downtime that you deserve. 

See you in 2021.

Agile Funding can help you raise fast

We are delighted to welcome back Adam Blair, CCO at SeedLegals, for his second guest blog as part of our legal mini-series for start ups:

When funding goes Agile

In our first article we discussed some of the different fundraising methods available to you as a founder, and the impact and benefits of the SEIS / EIS schemes. See How to close your funding round before the end of 2020 if you missed it or need a reminder…

This month we delve deeper into the world of agile fundraising and share some practical advice that can help you raise money for your business before the end of the year.

Making the most of the Christmas rush…

The run up to Christmas is always one of the busiest times of the year in terms of fundraising activity and investment. This can be a great time to look for investment, as many investors are looking to move quickly and close investments before heading off on their well earned break (even if this year that will be at home…).

With less than four weeks until Christmas, there’s not long left if you’re looking to raise investment this year. But all is not lost – agile fundraising enables you to raise investment quickly and flexibly in situations just like this.

What is agile fundraising?

Over the last couple of years at SeedLegals, we’ve observed that many early stage companies are moving away from go-big-or-go-bust funding rounds every 12 to 18 months in favour of agile fundraising where they raise small amounts frequently, taking investment opportunistically (e.g. when you meet someone who wants to invest) and as needed.

We now see the savviest founders use agile fundraising to grow their businesses faster, spend less time holding up the business while they look for investment, and give away less equity than founders relying solely on the traditional go-big-or-go-bust funding rounds.

The two main agile fundraising methods are SeedFAST (Advanced Subscription Agreement) and Instant Investment.

Advanced Subscription Agreement (ASA)

An Advanced Subscription Agreement is the UK equivalent of the SAFE (commonly used in the US) and is SEIS/EIS compatible – great news for you and investors.

An ASA allows investors to give you money now, in exchange for shares in your next funding round. Your ASA investors will receive their shares, generally at a discount compared to other investors in the round, because they invested early, when you close your next funding round. 

Instant Investment

Instant Investment allows founders to close an initial funding round like normal, and then top that up anytime, within limits agreed in the initial funding round.

This enables you to raise only what you need or are able to raise right now, and get back to growing your business. Then, as you find additional investors, you can quickly and easily add them, effectively topping up your last round. At SeedLegals, we regularly see founders close a funding round and continue raising using Instant Investment for 12-18 months before doing their next round.

You can read our comprehensive agile fundraising guide here

Is agile fundraising right for me?

There are a number of scenarios where you can use agile fundraising to your advantage, whether you are going out to investors for the first time or have raised multiple rounds of funding already.

Here are a few of the most common use cases we see at SeedLegals:

  1. You’ve found your first investor…

First investor on board – now to find the rest, right? Yes and no…

While one option is to keep your round open as you search for other investors, a better way could be to use ASA to get that money in ASAP, rather than keeping those investors (and their investments!) on hold while you line up all the other investors for your round.

With an ASA you get investment there and then, which can be used to invest in growth or extend your runway, and the investor generally receives a discount on the upcoming round in return.

The fact that one investor has already committed and transferred funds will also typically be viewed positively by other investors you’re speaking to.

  1. You can’t agree on / don’t want to commit to a valuation…

Is my valuation £500k? £1m? £3m? £5m? Agreeing a valuation for an early stage business can be a minefield. Luckily, we’ve written this article about how to think about valuing your startup…

Great! So you’re good to go… But there are still lots of cases where investors and founders simply can’t agree on a valuation or may strategically not want to agree a valuation at that time.

An ASA can help both parties here, giving you up to 6 months to finalise the valuation. As a founder, this not only gives you much needed cash, but also time to grow the valuation to a point where you and your investors are both happy.

  1. You’ve got your key investor(s) on board…

When fundraising, founders will often have certain investors they really want to get on board. Perhaps they’re writing the biggest cheque, have a great network, or are able to provide unique advice and insights.

You’ve landed your dream investor(s) and have a decent chunk of your target raise committed – now what? 

This is a great time to consider closing your round and continuing to raise using Instant Investment. Negotiations around valuation and key terms are likely to be finalised or close to finalised by now, meaning that other investors are likely to be signing up to the same terms. 

This approach means you receive funds and can put them to work immediately, whilst continuing to fill and complete your round.

  1. You’re just waiting on the last investor(s) to sign…

Everybody has signed, except one or two investors… One is going on holiday for two weeks and the other is dragging their feet. What do you do?

You could wait until they get back, but this just means more time thinking about fundraising vs. growing your business. Instead, you can let these investors know that you’re going to close the round without them, but (and very importantly) they will be able to invest at the same terms once they’re back, or ready to commit.

This approach can sometimes lead to investors suddenly being available to sign and transfer funds, meaning the round closes as initially planned. Either way the round closes sooner, without losing investors, a win/win.

Summary

If fundraising is dragging on, or you just want to move faster, agile fundraising could be just what you have been waiting for…

SeedLegals

Questions about agile fundraising, or fundraising in general? You can book a call with one of the SeedLegals experts, who will be happy to help.

#Behindtheraise with Occuity

We spoke to Occuity founder and CEO Dan Daly about his revolutionary new device diagnosing chronic health conditions via a patient’s eye, building a winning team and top tips in securing funding from angel investors.

Tell us about Occuity?

Currently, the diagnosis and monitoring of many chronic health conditions is inadequate, leading to people suffering when they don’t need to or even shortening their life expectancy. 

Occuity’s mission is to improve this damaging situation through the development of cutting edge technology and production of a range of devices that will enable the non-invasive measurement of these conditions. Our devices simply shine light into the eye and detect changes and markers that indicate the person’s health. The first of the many  devices in our development pipeline which will utilise our proprietary technology, is a hand held optical non-contacting pachymeter.

What is your background?

I have always been interested optics and lasers. I started out as a physicist, specialising in micro-optics (very, very small lenses) and measurements using light. It was fascinating how you could see down to the micron level with the right system. However, as I progressed, I moved away from doing the science and became more involved in the commercial side and actually applying these technologies to the real world. It was therefore an obvious next step to combine the two and form a company that utilised the powerful potential of optical measurements.

How did the idea for the device come about?

It started by thinking about what measurements you can do with light. Then a desire to make measurements that were worthwhile, and would make a difference. This led to the interest in healthcare. Building on this, I started to think about situations where people are required to make many, regular measurements. Diabetes is  the obvious example. Clearly doing this in a way that  is pain free and non-invasive would be a major advantage.


How did you recruit the team?

We have a great team with a huge amount of medical and engineering knowledge, experience and brain power. Having worked in this sector for a number of years, many of the team have worked together in the past. Most of our newer team members have come via personal contacts and recommendations, whilst some have even joined us after hearing about our plans through our website. We’re still growing and it’s exciting to see the team develop, but as our growth increases, it’s important we utilise the right channels to make sure we’re able to recruit the best talent, whether this is directly or through specialists agencies.  

How have you overcome challenges during COVID?
We were relatively fortunate that when COVID hit, we were a still a nimble start up and  a lot of the engineering was still at the “developed in a garage” stage. This meant we were able to (literally) go back into the garage during lockdown and continue the development unabated.

We are also in the fortuitous position that as our measurements are non-contacting, they are much safer than the existing devices we are seeking to replace, as these devices must physically contact the patient or draw their blood. There is definitely a mood in the healthcare sector that the more you can do remotely, the better. The risk of spreading infections, causing accidental harm or pain is completely removed by our non-contacting devices, which is great news for both the patient and the clinician.

Why did you decide to raise investment?
Due to the length of time it takes to run clinical trials and obtain regulatory approval, medical devices are very expensive to develop and of course you can’t sell them to generate revenues until you’ve successfully completed the regulatory process. 

It was therefore necessary for us to raise funds and  we will  undertake further funding rounds before we get to market.

What are your top tips for anyone raising investment for the first time?
Firstly, don’t push the valuation too high initially. Leave some headroom for future rounds so that those coming in later have a reason to invest.

Secondly, look for investors who bring more than just cash. It can be contacts, market experience or whatever, but once they are championing your company, it adds significant value.

What attracted investors to your company?
It was definitely a combination of factors. A large part of the attraction is the upside potential of Occuity. We have a proprietary technology, protected by nine patents, and an expert team developing products which deliver clear solutions to large and growing markets. The opportunity is tremendous.

Take the glucose monitoring market as an example. This market alone is now worth over $14bn, and that is based on people sticking needles into themselves. It’s widely predicted that the first company with a non-invasive solution will take a large share of that very valuable market.

But the attraction is also the chance to be involved in something that’s doing good and significantly improving the quality of life for hundreds of millions of people.

My biggest fundraising mistake was…
Timing. It always takes longer than you think to run a fundraising campaign and with COVID and lockdown layered on top, we should in hindsight have started earlier.

Why did you choose to use Angel Investment Network?

It is the breadth and experience of the network that adds so much value. Most networks are regional and so draw on a limited pool of angels. The AIN is global and as such we were able to raise funds internationally from people who offer distribution support in countries where we would otherwise have no links. In addition, the team are great to work with and we trusted that they could help us succeed, and they did.

Angel Investment Network reports impressive annual growth

Angel Investment Network (AIN), has announced impressive annual growth, with annual revenues up 5% year on year and the last quarter seeing revenues increasing by 14%.

We now have more than 1.4 million users in total on the platform. In the past twelve months we’ve overseen a record 192,000 new registrations from entrepreneurs. The figure has almost tripled in the past five years with new entrepreneurial hotspots developing across the globe. Encouragingly for the businesses on the platform there is also more investor activity than ever with a record number of connections made despite the unfortunate circumstances this year.

Despite the pandemic, there has been impressive growth across Europe, with Germany seeing a 40% increase in revenue, the Netherlands up 130% and France up 27%. The USA has also seen a rise of 27%. Our performance has received plaudits from several media outlets, being covered by Techround, Growth Business UK, Bdaily, Business Mondays and Angel News.

Alongside the online platform, AIN also runs a successful broking division. Despite the challenging conditions it has seen impressive revenues year on year, despite longer funding rounds in today’s climate. AIN has been involved in several significant high profile raises in the past 12 months for a variety of businesses, including edtech startup BibliU, digital addressing startup OKHi and YouTube karaoke channel Sing King. 

Despite the backdrop of the global recession and pandemic, AIN’s results reveal the embedded startup culture both in the UK and internationally. They also highlight the enduring popularity of passion-driven angel investors as a source of early stage funding.

According to AIN co-founder Mike Lebus: “2020 has been a time of unprecedented turbulence for the startup world, as it has for general society. Despite the challenges, we continue to see record numbers of startups look for funding on our platform and angels willing to invest. The solutions to so many of the problems we face are in the minds of startup founders and we are proud of the work we are able to do to help them fund their ambitions.”

He continues: “We continue to see strong international growth with startup communities developing throughout the world. We now have 40 networks extending to 90 different countries. We are also building new partnerships with accelerators and continue to offer tailored offerings in the property sector with BrickTribe and impact investment with SeedTribe.”