By guest authors Irina Patterson and Candice Arnold Irina: Do you have a success story to share? Todd: The one that stands out is Napo Pharmaceuticals, which went public in a 24-month time frame. The investors got a fifteen times return. That was nice. We’ve had a lot of positive returns on the real estate
By guest authors Irina Patterson and Candice Arnold Irina: Do you have a sector preference? Todd: I’d say it goes across the board. But we sold more medical device companies last year. I don’t know why, but we haven’t seen as many this year. It was just kind of one of those years where for
By guest authors Irina Patterson and Candice Arnold Irina: Do you pay attention to the total available market (TAM) for companies’ products or services? Todd: Absolutely. We’ve invested as high as $13 million in a company. That was a company where we were swinging for the fences, and we were hoping that that would be
By guest authors Irina Patterson and Candice Arnold Irina: What’s the typical valuation of a company? Todd: Typical valuations are about $1 million to $5 million. I would say on the high side, between $1 million and $10 million, but most of the companies we’re looking at are between that $1 million and $5 million
By guest authors Irina Patterson and Candice Arnold Irina: How many deals do you receive each month, on average? Todd: Typically, about 40–70 a month for our region alone. Irina: Out of those 40–70, how many deserve a closer look? Todd: We narrow that down to the best seven to nine companies. Those seven to
By guest authors Irina Patterson and Candice Arnold [Todd continues his discussion of why he thinks the group’s model works.] Todd: The third thing is the amount of resources that our members are able to provide to the companies. Anybody can write a check or invest in a company and that’s one thing, but when
By guest authors Irina Patterson and Candice Arnold This is the seventh interview in our series on seed financing and angel investing. I am talking to M. Todd Dean, Keiretsu Forum’s Northwest Chapter president. Irina: Hi, Todd. Please tell us about yourself. Todd: I was in insurance for about ten years, and then through a
By guest authors Irina Patterson and Candice Arnold Irina: You do track your returns internally, right? And it’s about 20%? Randy: That study was done to the end of 2007. We founded it in September 2000, so it was a seven-year study. The next study is being done right now, and that study will be