Hub Angels Investment Group

Overview

Established in March 2000, Hub Angels Investment Group is one of the oldest and most experienced angel groups in the Boston area, making investments in young tech and life science companies in the Northeastern United States. The group comprises nearly 200 members across six funds, collectively investing over $50 million in more than 50 companies. Their portfolio spans sectors including Mobile/Media, Internet/Web Services, Software, Life Sciences, and Electronics/Industrial. Venture firms that have participated in financing Hub’s portfolio of companies include DFJ Gotham, Greenhill, Javelin, First Round, Norwich, Rock Maple, Brook, Thomas Weisel, Fidelity, BCVP, Bessemer, Blue Chip, VCFNE, Seed, Origin, Intel, TL, Singapore EDB, Venrock, Commonwealth, Stage 1, Long River, Anchor, Project11, Supply Chain Ventures, River Hollow Partners, Polaris, Foundation Capital, SAPPHIRE, Atlas, Raine Capital, GGV, InterWest, Nauta, Laconia, 645 Ventures, Pallasite, FlagShip, Hyperplane, InnovaCorp, Kepha, Gut Brain, Health Catalyst, Good Growth, Schooner, BP, and A3. Collectively this constitutes over $1 billion of invested capital. Hub Angels focuses on early-stage investments in technology-driven startups, particularly in the greater Boston area, known as the "Hub" by locals. The group has developed a structured investment methodology, including a venture fund with co-investment rights for individual members. They invest across various industry sectors as part of a diversification strategy, with a focus on healthcare/life sciences, IT/Internet/communications, and technology domains. The group has invested in more than 40 companies, with the Hub Group and its members investing more than $40 million. The group's investment process involves screening companies through their trusted network, with members meeting six times a year to hear presentations from selected companies. The due diligence process is focused on 30 days to get to a commitment to invest, and whatever additional time is necessary to bring a syndicate together and close the round. Each year, Hub screens on the order of 350 companies, presents about 25, enters due diligence on 15, and invests in 3 or 4. On average, Hub invests three times in each portfolio company. Having a Fund facilitates their holding back dry powder to participate in future rounds. This strategy gives confidence to their portfolio companies that they will be there when they raise capital, protects Hub's pro-rata interests, and can shorten the time companies need to close rounds. Regardless of whether or not Hub makes an investment in a company, the Hub Angels endeavor to help start-up companies with feedback, advice, and contacts.