VC Firm Launches Angel Investment Group In Michigan
Investment firm Vessel has launched the Michigan Angel Collective (MAC), an early-stage angel syndicate, Crain’s Detroit Business reports. MAC will join the Ohio Angel Collective and Kentucky Angel Collective under the umbrella of the United States Angel Collective.
Leading the new initiative is James Feagin, a Detroit-based social innovation leader and former head of economic mobility at the Gilbert Family Foundation. He is also the managing partner for Detroit-based Black Bottom Ventures.
According to Vessel partner Wolf Starr, the Ohio Angel Collective was created to fill a funding gap for early-stage founders. Its success led to a meeting with Feagin and ultimately inspired the expansion into Michigan and Kentucky as part of the collective’s broader growth strategy.
The Michigan Angel Collective
Investors looking to join the MAC must have accreditation, which requires an annual income of over $200,000 or a minimum of $1 million in assets. The Ohio Angel Collective currently has 300 investors, which is the collective’s goal for the MAC.
“By leveraging the power of local investors and connecting across state lines, we can transform Michigan into one of the most supportive and inclusive places to build a startup in the country,” Feagin told Crain’s Detroit Business.
The model will enable investors to participate in investments showcased by Vessel and the United States Angel Collective, allowing them to choose the amount they’re interested in investing in per startup. The collective aims to complete one deal per month, with an average check size of approximately $100,000.
Who does MAC want to invest in?
The collective aims to invest in companies that can provide support, such as connecting startups to a broader community, according to Starr. Mobility is a top priority for the collective, as 96 of the top 100 automotive suppliers to North America have a presence in Michigan, and 71 are headquartered in that region, according to the Michigan Economic Development Corporation.
“So there will be a focus on those successful industries, but … if we believe that it can be successful for the founder and for the investors, we’re not ruling anything out,” Starr adds.
MAC also hopes to invest in startups across Michigan, as Star says he usually finds that “some of the best deals come from some of the areas which have received the least attention.” So, the collective will host events in Detroit, Ann Arbor, and Grand Rapids throughout the year to expand its network.
Image: Tafari Stevenson-Howard
