Tyler Texas Angel Network

News

Angel Network gives business owners a shot
By CASEY MURPHY
cmurphy@tylerpaper.com

Jim Pendleton has been an entrepreneur for most of his life and knows starting a business takes “long hard work and hours with limited capital.”

He believes entrepreneurs are the “backbone of our nation,” so he and a small group of local business owners have joined forces to help others. Pendleton is president and chairman of the Tyler Texas Angel Network, a group of seasoned entrepreneurs looking to invest in start-up companies that are struggling for funding.

Pendleton, 73, has owned a natural gas equipment company for 40 years, following in the entrepreneurial footsteps of his father, an electrical contractor. He grew up in Dallas and studied engineering at Southern Methodist University before moving to Tyler about 30 years ago.

Pendleton said he has done four or five start-up companies, and they are an “absolute nightmare struggle.”

Now after decades of owning a business, he wants to help others starting a company.

Read the entire article here.


Jim Pendleton
(Courtesy)

Upcoming Schedule of Events
Date Time Event
3/20/2017 5:00 pm Investor Meeting

ACA Flash Rule 506(b) Is Unchanged, But May Not Be As Useful

Dear ACA Member,

I want to follow up on the media release and materials sent yesterday as a call to action against the onerous new SEC rules lifting the ban on general solicitation for companies seeking investment from accredited investors. This rule, known as 506(c), requires issuers to take reasonable steps to verify that all investors are accredited. Those steps include requiring the investor to provide income and/or net worth data to the issuer or its agent. The decades-old practice of self-certification will no longer be accepted under this standard. As we said, this is a very big deal – that could literally kill most angel investment.

Many of you have been rapid responders – and this info is now being widely circulated across social media, blogs and newswires. This is a great start to a campaign which we believe must succeed, as it is fundamental to the future viability of angel investing. Thank you, and keep it up!

A number of you have asked whether it will still be possible for issuers to make "quiet offerings," without general solicitation, and whether accredited investors can still self-certify in this case as we do currently. The answer to this is "yes" – if the issuer has been very careful about not conducting any activity that might be construed as general solicitation. The SEC now calls this Rule 506(b).

The problem lies with the broad definition of general solicitation. Every pitch contest, open business school competition, listing on a funding website, news article or blog mentioning fundraising falls under the rubric of general solicitation. Angels want to see the most promising startups – and these are the very ones that are most likely to have sought and received some form of public recognition. As a result, more and more deals are likely to offered under Rule 506(c) than ever before.

Many legal advisors are indicating they will have issuers use 506(c) because the penalties for failing to make that election include barring the issuer from raising funds under Form D for a year. These and other new proposed requirements for issuers to submit all solicitation materials to the SEC, and to add specified legends (which themselves are longer than a 140-character Tweet!), will make navigating the new rules a complicated process for angels and start-ups alike, for a long time to come.

ACA is continuing to work with the SEC, legislators, and other organizations to advance an acceptable solution that would afford ACA member angel groups some sort of safe harbor to self-certify (so no financial documents). Our goal is to get a no-action letter or other clarifying statement from the SEC. We will send you additional tools and materials to support this fight, and we will be working with a great vendor (and start-up) on tools that will make it easy to contact your Congressional delegation. We know that Congress is interested in our view and did not intend for the JOBS Act to hurt the interests of small businesses or angel investors. Their goal, and ours, is to give small business greater access to capital so jobs can be created.

While the SEC rule on general solicitation is final, the fight continues to ensure that angel investors can keep on fueling the innovation economy and entrepreneurial success.

Many thanks for your support

Marianne Hudson
Executive Director
Angel Capital Association
913-894-4700 x1
mhudson@angelcapitalassociation

ACA Member Flash - SEC Update AND

ACA Leadership Workshop

ACA Work on New SEC Rules

I want to update you on ACA’s work related to the SEC rules on general solicitation. Progress is being made:

  • His additional blog on ACA's site today further explains key impacts of the rulings on investors and startups
  • We have met with SEC staff, who are committed to listening and answering questions, and will continue our discussions to work out a solution that doesn't require financial documents.
  • Please join us for a Webinar on the SEC rules on August 6th at Noon Eastern.  It will include an overview of the final and proposed rules, but also include answers to many questions we are getting about what they mean for angels and startups, and recommendations for dealing with both types of 506 offerings (general solicitation and “quiet” offerings).   The Webinar is complimentary, but you need to register in advance.  REGISTER HERE.
     
  • We encourage members to Tweet the WSJ Op-Ed to continue getting the message out.  You're welcome to use ACA's Tweet of this morning to ReTweet, via @ACAAngelCapital.

Texas angel investors to form alliance

"Our goal is to make it easier for entrepreneurs to get their deal in front of multiple angel networks," said Jamie Rhodes, chairman of the Central Texas Angel Network in Austin who is leading efforts to launch the alliance. "This is incredibly important, since angel investing is such a major part of the economy, which is in the doldrums. Start-ups create the vast majority of jobs in the nation." Read more here.




Angel investors across Texas collaborate

Alliance of Texas Angel Networks introduced

Premium content from Austin Business Journal by Christopher Calnan , ABJ Staff

Date: Friday, May 20, 2011, 5:00am CDT - Last Modified: Thursday, May 19, 2011, 2:50pm CDT

After investing more than $24 million in startups last year, the state’s 12 regional angel groups are formalizing a statewide umbrella organization to promote more syndicated deals and increase the amount of investment in the Lone Star State. Read more here.
Next meeting
Location:  
Gollob, Morgan, Peddy 
1001 ESE Loop 323, Suite 300
That's on the corner of New Copland Rd. & the Loop 
and across the street from One American Center 
Next meeting(s): March 20, 2017

Team of angel investors to fund PerioSciences LLC

Premium content from Dallas Business Journal by Jeff Bounds, Senior Staff Writer

Date: Friday, November 30, 2012, 5:00 am CST - Last Modified: Thursday, November 29, 2012, 4:29 pm CST

In a sign that various Texas angel networks are starting to collaborate and share deals, four groups of wealthy investors in and near Dallas-Fort Worth have banded together to help commit more than $1.78 million into PerioSciences LLC, a Dallas supplier of antioxidant toothpastes, mouth rinses and anti-inflammatory oral gels.

Dallas-based Green Park & Golf Ventures LLC, a business arm of two well-to-do area families, committed about $352,750. Also committing were members of Dallas’ North Texas Angel Network (around $365,000), Fort Worth’s Cowtown Angels ($310,000), the newly-formed Tyler Texas Angel Network ($50,000), 25 or so dentists who are both shareholders in PerioSciences and who help sell its products ($275,000) and an assortment of other wealthy individuals ($430,484).

Read more here





Tyler Man to Appear on Episode of ‘Shark Tank’

Marshall, whose latest creation was produced with the assistance of the Tyler Junior College Small Business Development Center, will be a part of the popular TV show this Friday, Jan. 4.

Marshall, whose The Gameface Company benefited by business counseling from the SBDC, hopes to sell his business concept to anxious and sometimes hostile investors.

The SBDC, the Tyler Texas Angels Network, Xerox, and Coyote Sam’s will host a viewing party for the program Friday Jan. 4, from 7-9 p.m., at Coyote Sam’s, 5424 Old Jacksonville Road, with snacks and a cash bar. Marshall is expected to attend.

Read the entire article here

Tyler Texas Angel Network (TTAN)
P.O. Box 6086, Tyler, TX 75711 US
Website: http://www.tylertexasangelnetwork.com
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