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Using online demo days as a deal sourcing machine
We've invited our friends from Inovexus to share with us some of their insights & learnings from leading syndicates into European tech startups with global ambitions 🚀.
The importance of attending live demo days from accelerators cannot be overstated. These events expose you to many high-quality deals, which is invaluable in the investment journey. Accelerators like YC, Techstars, Inovexus, and 500 Global (fka 500 Startups) have all developed rigorous vetting processes for their companies that are presented at live demo days. This ensures that angels are investing in the best possible startups with a fast 💨 process.
Sourcing deals before
Back in the day, angels needed to leverage their networks to find deals. While it can be a great way to find startups when the network is strong, for many investors, this process is time-consuming, and often leaves them out of good deals when the network is weak.
Another sourcing channel was angel networks where deals were brought in by other angels, entrepreneurs, and trusted service providers. This is the most used channel by the vast majority of angels. The pandemic changed how companies work and how investors deploy capital: platforms like Angelist, WeFunder, Kickstarter, etc.
At Inovexus, we think the most disrupting platform recently is Stonks which offers online demo days.
Sourcing deals today
Today there are a number of online demo days that make sourcing investments easy and accessible for anyone with an interest in investing in startups. These live demo days have made it easier than ever for angels to get exposure to a wide range of businesses and invest in a variety of sectors GLOBALLY.
Demo days not only offer a wider reach and can help connect business angels with a larger pool of potential deals, but also diversification for risk control by investing alongside top pre-seed players.
With so many deals being made each day, it can be hard for angel investors to keep up with all the action. However, thanks to platforms like Stonks, they can participate in the deal-making process from their couch, without having to leave home or miss out on any important information. At Inovexus, the investment process from live demo days is also made easy with syndicates, led by us, that automatically takes care of legals.
Essentially, we believe that business angels must be open to new sources of deals and not rely on the same old methods. Attending these live demo day events can provide angels with insights into new technologies and trends that you may not have otherwise been aware of. Ultimately, this information can help you make better investment decisions moving forward.
On the investment side, Inovexus looks at demo day as an inbound sourcing method.
As startups love quick exposure to a big amount of investors, demo days attract lots of great companies to us. They also like the efficiency because they can raise lots of funds in a relatively short period of time. Since we started doing these demo days, the number of inbound startups reaching out to us has drastically increased.
by Igor Curic, COO of Inovexus
Sourcing deals tomorrow
We should foresee that the future of deal sourcing is going to be more through many online platforms like LinkedIn Live demo days, Stonks, and even Gen Z dominant platforms like TikTok. With the transformation of remote working enabled by technologies, many investors will use it to level their position and compete with big VC names. So keep an open mind when it comes to sourcing deals, and don't miss out on opportunities because you're not using the latest platform or technologies.
📅 Upcoming Inovexus event
About the event: Global challenges, technological breakthroughs, and a new generation of tech leaders. We'll remember 2022 for a long time.
Part of what Inovexus is all about is detecting upcoming pre-seed tech trends and in this event they’ll share these insights with you.
As part of the private event, they will be hosting a panel discussion with industry leaders such as Yves Sisteron, Emmanuelle Brizay, Fabrice Grinda and Christophe Aulnette. They will provide valuable insights and analyses on the current state of the funding landscape and what we can expect in the coming year.
In addition to the panel discussion, they will also be sharing our Inovexus plans for the next year and how they intend to continue driving success for their limited partners - including exciting new developments in their acceleration program.