As we head into summer, our investment pipeline remains strong, although only one company, the HR focused Culture HQ, closed its funding in May. In this edition we interview VesprSolar founder Robert Sewell, and sit down with our resident AI expert, NYA member Steve Shwartz, who also presented to the group last month on investing in AI start-ups. We round up the news from our portfolio companies, and Simon Hopkins speculates about the direction that angel investing is heading based upon our investments in 2023. Finally, congratulations to Eric Chan who was named "Mentor Of The Year" for his work at NYU.
2024 INVESTMENTS
NYA Members have invested $3.8 million in 2024 YTD.
MAY INVESTMENT HIGHLIGHTS
CultureHQ is a platform that allows companies to use just one system to manage all employee-generated content. The company helps establish workplace community by helping employees form meaningful connections based on professional needs and personal attributes, enhancing engagement and inclusion. When employees feel connected to their company and one another, they are happier, more engaged, and stay longer. Dan Zitting and Michael Gibbons led the deal.
FOUNDER SPOTLIGHT
Robert Sewell, Co-Founder and CEO of VesprSolar, started VesprSolar while he was pursuing his MBA from Tuck, with a simple idea to mount solar modules. Today, VesprSolar has been recognized by the Department of Energy as a top 10 innovation in solar. In our discussion with Robert, which is essential reading for other founders, he likens his fundraising process to managing his a sales pipeline, highlights the necessity of a good team and the importance of working with a local funding partner.
COMPANY NEWS
ATRAVERSE
Atraverse Medical announced the FDA clearance of its HOTWIRE™ radiofrequency (RF) guidewire, a novel device that enables zero exchange left-heart access while also acting as a rail for catheter-based therapy systems. Atraverse also recently oversubscribed its seed round with $12.5 million of total seed investment, demonstrating a strong investor belief in the need for continued innovation in the left-heart access arena. Read News Release
COMPANY NEWS
CLOUD FRAME
CloudFrame recently announced a strategic investment from EPAM Systems, Inc. The two companies first partnered in June 2023. Over the past year, their collaborative and synergistic relationship has successfully delivered numerous application modernization projects to Forbes 1000 enterprises. EPAM’s Mainframe Modernization team will utilize CloudFrame products to accelerate movement of mainframe workloads to the cloud. Read Announcement
COMPANY NEWS
IC360 (PREVIOUSLY NAMED U.S. INTEGRITY)
Sports Business Journal awarded IC360 at the 2024 Sports Business Awards for "Best in Sports Betting." This coveted award recognizes IC360's exceptional contributions and advancements within the ever-evolving sports betting landscape, especially amongst such a respected group of industry leading organizations such as DraftKings, FanDuel, ESPN BET and Genius Sports. See All the Winners
COMPANY NEWS
ZYLÖ THERAPEUTICS
Scott Pancoast, founder and CEO of Zylö Therapeutics, was recently named Founder of the Year by South Carolina Research Authority. Under his leadership, Zylö created a drug delivery system using patented xerogel-derived particles, called Z-pods, to topically deliver nitric oxide and other therapeutic agents. Read Full Article
MEMBER SPOTLIGHT
Steve Shwartz has been a New York Angels member for 10 years and is recognized as an expert on our team for AI, SaaS and software, having started his career as a postdoctoral researcher in the Yale University Computer Science Department. Steve has been a founder of multiple companies, including Device42, which delivered a 6x return to NYA members, and is also a published author. In our discussion with Steve he shares his thoughts on his successes: "ability to execute is key", his failures: "falling in love with the technology", as well as advice for founders who are fundraising.
MEMBER PERSPECTIVES NOT JUST THE 'NEW YORK' ANGELS SIMON HOPKINS
In 2023, almost 80% of the dollars invested by NYA members were outside New York City. In his article, Simon Hopkins looks at the breakdown of the investments made and speculates that 2023 was not an outlier for the group, but simply part of a trend of how angel investing is evolving, and what may be around the corner. Read About NYA Outside of New York
COMMUNITY CONNECTIONS
INSPERITY NICK MATTERO
Nick Mattero, Business Performance Advisor at Insperity, joined NYA's May Forum as one of our sponsors. Companies can increase their performance by using a professional employer organization, like Insperity. Insperity offers everything from benefit plans to payroll and HR administration to government and worker's compensation coverage and claim resolutions. Insperity allows startups to focus on what is most important to their organization, e.g. their product and operations, vs. managing HR. Read Insperity's PEO Offerings
COMMUNITY CONNECTIONS FIRESIDE CHAT ON AI DAVID MAGERMAN
David Magerman, Managing Partner of Differential Ventures, joined NYA Member Steve Schwartz for a fireside chat on AI. In a fascinating discussion, which ranged from the limitations of current AI models, to the productivity gains that can be achieved - or not - by incorporating generative AI into software development. Members were particularly interesting in their views on what to look for when investing in an early-stage AI company. Learn About the Latest in AI from Differential Ventures
MEMBER NEWS MENTOR OF THE YEAR ERIC CHAN
Many congratulations to NYA Member Eric Chan who has been named "Mentor of the Year" by the NYU Berkley Center for Entrepreneurship. Eric said, "It has been a privilege to work with all the entrepreneurs and founders, and I feel grateful for the opportunity to contribute to their success. I believe that it is the collective effort and collaboration that transforms individual dreams into great companies."
97212 VENTURES
$20M Fund For Connecting Early-Stage Israeli Startups To New York City
Over our 20 year history, New York Angels members have invested in many Israeli founders, contributing to the 450 Israel-originated companies now based in NYC. 97212 Ventures has recently launched a $20 million fund focused on pre-seed and seed investing in Israeli startups, seeking to continue this trend. 97212 facilitates startups entry into the U.S. market by providing access to a pool of New York resources including key senior advisors and early customers and channel partners.
Investment Forum (Hybrid):
• June 17th (9:00 AM - 12:30 PM)
July Screening (Hybrid):
• July 1st (9:00 AM - 1:00 PM)
FOUNDER DEADLINES
July Screening Application:
• Due June 10th
*New York Angels, Inc. ("NYA") is a not-for-profit corporation that is funded by membership dues for individuals and/or entities that NYA has designated as members as well as from certain sponsors. Its purposes include providing administrative support to its members. NYA does not invest in companies. Investments, if made, are made by individual members of NYA.
