A third angel investment fund is being launched in North Louisiana by BRF to provide capital to entrepreneurs and investment opportunities to accredited investors.
New Louisiana Angel Fund 3 (NLAF 3) will be the largest of the three New Louisiana Angel Funds at $5 million. BRF raised North Louisiana’s first angel fund, New Louisiana Angel Fund 1 (NLAF 1), in 2015 with $2.7 million and 53 angel investors, and the region’s second fund, New Louisiana Angel Fund 2 (NLAF 2), in 2018 with $3.1 million and 67 angels.
“NLAF’s mission is to organize capital and investment opportunities to promote high-growth startups in diverse industries that will help grow and diversify the economy of North Louisiana,” said BRF President and CEO John F. George Jr., M.D. “Investors benefit from a rigorous due diligence process, and our local aspiring entrepreneurs have an opportunity they’ve not had before – to pitch to accredited local investors, keeping all of this investment capital, opportunity, and talent here in this region.”
Hundreds of opportunities have been reviewed over eight years for potential funding through the first two funds, with 25 companies being approved for investment.
BRF’s Entrepreneurial Accelerator Program (EAP) functions as the business accelerator that facilitates deal flow for potential investment opportunities. All investment decisions are made by the funds’ members.
“Members are targeting 20 companies for investment with NLAF 3,” said Dave Smith, EAP Executive Director. “Investors are still joining the fund, which is set to launch in early November. NLAF’s target is a high-growth technology startup in any industry, with medical and aerospace, entertainment, fintech, IT services, defense and cybersecurity, as examples. Members are looking forward to seeing innovative technology from any industry.”
While NLAF investments and companies are local, NLAF facilitates syndication with angel funds across Louisiana and beyond its borders.
“We’ll continue to syndicate with angel networks across the state and in other regions of the U.S. with NLAF 3,” said Julie Milam, Fund Manager and EAP Senior Financial Analyst. “This practice offers fund companies additional investment and brings more investment capital into the area.”
Milam said NLAF 3 has found footing with a new generation of investors in North Louisiana.
“We’re encouraged to see some younger, first-time investors with NLAF 3 along with many of our investors from funds 1 and 2. There’s another generation of angels stepping up to back ideas that are coming out of this region. It’s inspiring to see sophisticated ideas and investment practices being supported, adopted and driven by a new type of angel in North Louisiana,” said Milam.