Capital Region startups could be one step closer to taking their ventures to the next level with the announcement today of the arrival of the NO/LA Angel Network in Baton Rouge.
The young angel investor network was founded a year and a half ago by former Weather Channel CEO Mike Eckert and has rapidly grown to 114 members. Eckert calls it “remarkable” that the group’s unprecedented growth has made it the fastest growing angel network in the world, with the average membership size of an angel group in America being 68.
Now with a new chapter of angel investors in Baton Rouge, Eckert says he expects to grow the entire network to nearly 130 members by the end of the year. He’s also in discussions with investors in Lafayette and has partnered in investing in deals with groups in Shreveport.
Eckert’s vision is to build a statewide network of angel groups and investors, with New Orleans as its hub, to support entrepreneurs, their companies and the jobs they create across Louisiana.
“We continue to see rapid expansion of deal activity [and] regional activity, from New Orleans and throughout southeast Louisiana,” Eckert says. “The fact is that we are now getting our angel group an investment opportunity every two to three days, which is rapid deal flow.”
However, Eckert says the group is scrutinous and only invests in Louisiana-based companies, with investments totaling over $2 million so far. Eckert initially moved to New Orleans to spend more time with his grandchildren, but he started the angel network when he saw the city didn’t have one to support its rapidly growing post-Katrina startup culture.
“It is about as exciting as it can be,” Eckert said. “I had no idea I would be this busy doing this, but it is very, very exciting.”
Joseph Lovett, a venture capitalist from Boston who has been injecting much-needed venture capital into Louisiana since 2004, is also a member of NO/LA. He says the investment activity today compared with 10 years ago is like “night and day.” Lovett is the managing director of two high-technology, early state venture capital funds, Louisiana Fund I and II, with offices in Baton Rouge and New Orleans.
“I think one of the reasons the network has grown so quickly, and what we’re seeing in Baton Rouge occur, is that people have a deep passion and love for their market and towns,” Eckert says. “They are seeing this entrepreneur explosion. They want to help these companies get started; they want to keep the companies here.”
As a result of NO/LA Angel Network’s growth in the region, the Angel Capital Association has awarded the network and New Orleans the privilege of hosting its annual Angel Insights Exchange conference in New Orleans on Nov. 9-10.
—Gabrielle Braud
