UH Angels

The Angels Branch Out

It’s been four years since their first investment as a group and now, the UH Angels are spreading their wings. Not only is the Oahu-based group of angel investors opening branches on Maui and the Big Island, it’s also shedding the name UH Angels in favor of Hawaii Angels, which better reflects their statewide presence and soon-to-be nonprofit corporation status.

Technically, aside from the addition of physical office space and a new executive director (Miyuki Merry), all the changes will have a nominal affect on the Angels’ 60-some-odd members. However, it should bode well for Hawaii’s fledgling startups, since they’ll have two more audiences to make their investment pitches to.

Rob Robinson, convener and Miyuki Merry, executive director. photo: Cory Lum

>> SIGNIFICANT UH ANGELS INVESTMENTS TO DATE
Company	Investment (in thousands)
ClearFuels	2,300
Hoku Scientific	1,050
Hawaii Biotech	1,010
Pipelinefx	800
Firetide	500
Beyond the Break	410
Atlantis Cyberspace	380
ChipIn	325
Assistguide	300
Kona Blue Waters	276
It’s All About Kids	250
Pipeline	225
Communications Hoana	175
Nanopoint	150
Total*	12,530
*Includes deals not listed Source: UH Angels

“Right now, we meet on the second Friday of every month on Oahu. The plan is to hold Maui meetings on the second Wednesdays and Big Island meetings on the second Thursdays,” says Rob Robinson, who will retain his role as “Convener” of the Angels after their incorporation. The theory, he says, is that presenting companies have the opportunity to do a Neighbor Island circuit, in the hopes of garnering investments from all three island chapters. He also hopes the additional branches attract Neighbor Island startups that may not have heard of or previously had access to the Angels.

“We’ve had requests for a while to do the Neighbor Island thing, but we never really had the infrastructure and the ability to do it,” says Robinson. “Then a former member [Virendra Nath] moved to Maui and he was keen on replicating what we’ve done on Oahu. Same thing with the Big Island; interest has grown to a point where it made sense to launch a chapter there. So it’s good timing all around.”

Actually, it’s great timing. Four years ago, the average investment by the Angels into a startup was around $220,000. It’s since grown closer to $500,000, as investor apprehension subsided and the group gained confidence in local startups. Their confidence is poised to pay off as well. It’s only been four years (there’s generally about a five-year window in which investments either tank or pay off) but so far, the Angels have invested in 32 different startups and not one has gone under. One of its earliest investments, Hoku Scientific, has already gone public.

“No failures in this business is a little unusual,” says Robinson. “I think we’re bucking the odds a little. But we aren’t complaining.”

Do you like what you read? Subscribe to Hawaii Business Magazine »