EDIT: This post is an analysis of London’s startup investors on AngelList. If you are looking for a list of investors instead, please see my other post here.
Previously, I took a look at which markets London’s startups are going after, so I also wanted to take a look at which markets London’s startup investors are interested in investing in. In this post I’ll be using data from the profiles of all AngelList users who have an investor profile and who reside in London (or, at least, users who have London tagged as once of their locations). These tend to be angel investors investing their own money in startups but also includes the personal profiles of VC investors, investing on behalf of a fund.
ABOUT THE INVESTORS
There are 526 users on AngelList who meet these two criteria and who I’ll refer to as London’s startup investors. 237 of these reside only in London, with the rest being in multiple locations (averaging about 2.5 locations per profile). 349 of these are accredited outside of the US and 171 have US accreditation. Apart from London, the investors are most interested in investing in Europe (265), Silicon Valley (179), New York City (128) and San Francisco (123) with less interest in other European cities such as Berlin (50) and Paris (48).
Most popular investors
Each investor has a number of followers (averaging 340), the top-10 most popular London investors are: Christine Tsai (11,321), Benjamin Ling (6,075), Fred Destin (5,294), Saul Klein (4,190), Jonathan Nelson (3,787), Jimmy Wales (3,400), Jude Gomila (3,301), Philipp Moehring (2,817), Danny Rimer (2,777) and Max Niederhofer (2,513). Only three of these are actually still based in London but all do have ties to London and its startups.
Investors can also add their skills to their profiles. The skills are varied; you can ask Redg Snodgrass for Dating Advice, Sean Kane is skilled at Taco Making while Stefan Glaenzer is a skilled Offensive Midfielder. But, in general, the investors seem to be most skilled on the business side of things with more traditional skills such as Business Strategy and Business Development taking the lead. The 30 most popular skills for the investors:
As expected, the majority of the skills that the investors have are on the business side (strategy, marketing, operations etc.) with very few on the technology side of things. Only 6 of London’s investors list Technology as a skill, 4 list Software Engineering and 3 list Computer Science.
ABOUT THEIR INVESTMENTS
How many investments have they already made?
Together, the 526 investors have already made 2,854 investments in 1,982 unique startups that have been registered on AngelList. 114 have no registered investments but, on average, London’s investors have invested in 5.4 startups each, with a median of around 3 investments. The number of startup investments made per investor:
The chart shows up to 20 investments, there are 18 investors who have made more than 20 (most of whom are VC’s investing for a fund) with the highest being Christine Tsai (85 for 500 Startups), Benjamin Ling (80 for Khosla Ventures) and Carlos Eduardo Espinal (62 for Seedcamp).
How many new startups are they looking to invest in per year?
210 did not answer this question but the other 316 investors are looking to make 1,749 new investments in the next year, with half the investors looking to make between one and four new investments.
When the investor entered a range (eg. 3 to 5 investments) I took the middle of the range and rounded up. The only value not shown on the chart is the outlier of Christine Tsai, who is looking to invest in 100 startups in the next year for 500 Startups. The second highest is Philipp Moehring looking to make between 20 and 25 for Seedcamp, with 11 other investors looking to invest in 20 startups each. The average number of new startup investments per year per investor:
How much are the investors able to invest per startup?
The investors can enter a range of how much they are looking to invest per startup (eg. from $100k to $150k per startup) so I decided to look at how many investors are able to write a cheque of a certain size. If they are looking to invest from $100k to $150k, they are able to write a cheque anywhere in this range so I have included them in the $25k intervals of $100k-$124k, $125k-$149k and $150k-$175k. There will be some duplication (multiple individual investors investing out of the same fund) but it gives an idea of how many investors are available at each funding level. The number of London investors interested in writing a cheque of a certain size (up to $1M):
Since AngelList is mainly for angels, the smallest cheque sizes have the most available investors. For example, there are 118 investors who are able to write a cheque in the range of $50k to $75k.
102 of the 292 investors who answered this question, are looking to only invest less than, or equal to, $50k per startup, 47 are looking to only invest less than, or equal to, $25k per startup.
There are 58 investors who are able to write a cheque above $1M, these are mainly VCs investing for a fund:
Which markets are the investors most interested in?
Investors can enter which markets they are looking to invest in as a series of market tags. London’s investors list an average of 13 market tags each and are most interested in the large general markets that we would expect: Mobile (404), Consumer Internet (367), Enterprise Software (266) and E-Commerce (215). The most popular markets for London’s investors:
What investors are looking for VS. What Startups are working on
What is more interesting is the difference in what investors are looking to invest in and what entrepreneurs are currently working on. By dividing the frequency of a certain market tag by the total number of tags on investors' profiles, we can compare the popularity of the market tags to the same market tags on the profiles of London’s startups (as seen in my previous post, here).
The top 30 markets for London’s investors (as a percentage of the total number of market tags for the London’s investors) compared to their popularity for London startups (as a percentage of the total number of market tags for London’s startups):
A few markets where the investors show noticeably more interest than the startups (there are 526 London investor profiles and 1,658 London public startup profiles):
- Consumer Internet (367 investors, 30 startups)
- Enterprise Software (266 investors, 48 startups)
- Big Data (125 investors, 42 startups)
- Clean Technology (123 investors, 13 startups)
- Health Care (87 investors, 11 startups)
- Bridging Online and Offline (57 investors, 9 startups)
- Mobile Payments (54 investors, 16 startups)
- Information Technology (52 investors, 13 startups)
- Kids (44 investors, 11 startups)
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