Learn to invest as part of the SDAC community and make an impact

Meet a San Diego Angel

Benton was a first-time angel during the inaugural San Diego Angel Conference. After becoming part of the tight-knit community formed through the conference’s process, Benton is back as the Fund Manager for SDAC II. Investors like Benton have gone on to become involved in TCA San Diego and other local investor groups.

Benton Moore

SDAC Fund Manager

How does the San Diego Angel Conference work?

 

The San Diego Angel Conference connects angel investors with entrepreneurs in the San Diego community. We provide potential angels the opportunity to learn how to invest together as part of a tight-knit community that is making lasting social change. Angels meet new people, start a portfolio, and gain access to an experienced network. Our first-time investors grow to be part of the San Diego ecosystem and join other organizations like Tech Coast Angels San Diego.

The Conference started with a four-month long Entrepreneurs Track to prepare companies and provide sufficient deal flow. Those companies submitted complete profiles for investor review beginning in January. Investors will review over 100 applications and continue to narrow the field down until the Conference in March. After multiple rounds of pitches and complete due diligence, a final winner will be selected by participating angels to receive the investment. 

There are two options to earn your halo as an SDAC angel investor

SDAC Investor FAQ’s

Who can become an angel investor?

Any Accredited Investor can be an angel. To be accredited, you just need to meet either of these criteria:

  1. To qualify as an accredited investor based on your net worth, you must have a net worth of $1 million or more (excluding your primary residence); or
  2. To qualify as an accredited investor based on your annual income, you must have had an annual income of $200,000 or greater (or $300,000 or greater combined income with your spouse) for the prior two years and have a reasonable expectation of the same or greater income in the current year.

The SEC states that the definition of accredited investor is “intended to encompass those persons whose financial sophistication and ability to sustain the risk of loss of investment or ability to fend for themselves render the protections of the Securities Act’s registration process unnecessary.

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How is the fund managed on the back end?

Signal Rock Capital is managing the back-end of the fund on behalf of the CA Limited Liability Corporation (LLC). Founder, Will Fowler, is the primary contact for investor information. The cost to participate of accredited investors is $5,500/unit. $500 of which is a service fee to cover the cost of fund administration. Information on this site is limited.

The management structure is a Manager Managed LLC.

 

The fund manager is responsible for negotiating the terms of investments, signing the necessary documents, and ongoing operation decisions of the fund.

What are the differences in voting rights between the unit types?

Active Unit members maintain full voting rights and are required to participate in all fund activities. As such, they vote during screening, due diligence, and when selecting the investment/s.

 

Passive Unit members are not required to participate in these activities and in turn relinquish those voting rights. Restrictions are in place for votes on screening, due diligence, and when selecting the investment/s.

 

Both active and passive members vote on any substantial changes/decisions that deviate from what is described in the Private Placement Memorandum (PPM).

What are the service fees for?

 $500 of the total $5500 unit cost is earmarked to cover the cost of fund administration over the life of the fund.

The separate, one-time conference fee of $500 is paid directly to The Brink SBDC and not legally part of the fund. This SDAC fee covers training costs, ACA membership, food and drinks, meeting venues, and a conference ticket. It is charged once per investor regardless of total units. 

Does the fund have any minimum requirements or maximum capacities?

A minimum of 22 units is required to operate with a maximum of 182 units allowed. Additionally, up to 99 individual investors can participate in the fund. An individual investor can have more than one unit.

What is the fund's purpose?

The fund was created to invest in a company, or companies, in conjunction with the San Diego Angel Conference on March 28, 2020.