Stateline Angels help local start-ups soar

 

Angel investors along the I-Q Corridor enrich entrepreneurial ventures

 

By Tarah Haack

 

MADISON – Stateline Angels, an angel investing group in Rockford, Ill., has been assisting start-up companies finance their business endeavors since 2004.  Not only do these angels provide start-ups with funding, but they also provide business advice, mentoring and consulting to the firms in which they invest. 

 

“Our goal is to apply our expertise and a portion of our assets to earn above average investment returns by helping help individuals create and build successful new companies,” said Stateline Angels President Dale Falconer. 

 

The Stateline Angels are by no means inexperienced when it comes to offering up the best in business advice. Criterion for becoming a Stateline Angel include having built one or more successful companies, having a successful track record of investing in early-stage companies, and have an individual net worth in excess of $1 million. 

 

Falconer said Stateline Angels members include Rockford-area business executives, attorneys, physicians, and entrepreneurs. 

 

“Our members are accredited investors who have started and run companies and practices and have significant operational experience across a variety of businesses and industries,” he said.

 

The Stateline Angels are focused on investing capital in their local community. According to Falconer, members of the group “have a sense of local interest and define our radius as three to four hours drive.”

 

Falconer said there is “plenty of good deal flow in the area,” and that the Stateline Angels “review at least two deals every month.” 

 

Ventures in which angels invest tend to be in similar fields where they found entrepreneurial success themselves.  Typical Stateline Angel investments lie within the fields of manufacturing, information technology, life sciences, and other technologies. 

 

In a state such as Wisconsin, where successful start-ups exist in small numbers, the help of angels is essential.  Recent studies have shown the success of angel firms is linked to interconnected communication and membership. By pooling resources, angels can make their goods stretch farther and touch more individual entrepreneurs. 

 

This is one of the reasons why Stateline has joined forces with WAN, the Wisconsin Angel Network. 

 

Stateline hopes the affiliation will increase “access to early-stage companies located in the Northern Illinois/Southern Wisconsin region that are seeking equity funding,” according to Falconer. 

 

In addition to linking arms with WAN, the Stateline Angels have also joined up with Rockford Area Ventures, EIGERlab, EDGE, and the Illinois Technology Development Alliance.  The Stateline Angels are also a member of the Angel Capital Association. 

 

Through angel associations, team efforts and converging resources can add extra financial zip to companies attempting to take off.  Not only do partnerships assist in funding, they spread the word about bright entrepreneurs and help investors to branch out. 

 

“As a result of the increased exposure, we have seen a significant increase in the number of deals that we have the opportunity to review,” said Stateline Angels vice president DeWayne Fellows.

 

The Stateline Angels have most recently invested $450,000 in Atometric, Inc., a manufacturer of micro-machines for metal milling and cutting.  That total is significantly higher than Stateline’s more standard investment of $100,000 to $300,000. 

 

Atometric specializes in producing micro-machinery as small as the head of a pin.  Prior to advancements made by Atometric, miniature machine parts were not durable to the stresses of factory work, but precise enough for desktop workstations. 

 

Our members recognized that Atometric offers a solution that is seriously needed and particularly unique,” Falconer said.

 

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