New angel arm swings into action

Plenty of Innovation venture manager Tina Jennen says the Entrepreneur Bootcamp series is a business validation course of five weekends. Photo / Joel Ford

Tauranga's angel investor group has set up a new arm to encourage and prepare more local entrepreneurs to take advantage of the investment funds available in the region. Plenty of Innovation was launched in June this year by Enterprise Angels.

"We are the entrepreneurship side of Enterprise Angels," said Plenty of Innovation venture manager Tina Jennen.

"Our job is to upskill entrepreneurs and bring more investment flow to the investment pitch stage so we can bring more deals, especially local deals in front of the angels."

A key component of the new entity's programme is a series of Entrepreneur Bootcamps, which kicked off last month.

The major reason for the new initiative is that, although Enterprise Angels is the biggest and most active angels group in New Zealand, the majority of its investments have been made in companies outside the region.

Of 22 deals done as of the 2012 fiscal year, only four came from the Bay of Plenty, though that is beginning to change with more local deals through this year.

"Historically, very few of our investees have come from the Bay of Plenty," said Enterprise Angels executive director Bill Murphy. "We're not seeing anybody inspiring innovation in this area, and we're not getting enough local start-ups coming forward for funds."

Added Ms Jennen: "For the past couple of years we have been interested in trying to get more local deals so we can contribute more directly to economic development here."

The Entrepreneur Bootcamp series is a business validation course of five weekends spread over 10 weeks, which launched in Rotorua in co-operation with Te Puni Kokiri.

Ms Jennen said that in addition, both the Rotorua and Taupo economic development agencies had been very keen to be involved. The next bootcamps will be held from October through December in Tauranga, with a further programme co-hosted by both Rotorua and Taupo. Tauranga's Priority One helped in funding Plenty of Innovation.

The course enables entrepreneurs to test their ideas before committing to major set-up costs, connect with other entrepreneurs, get mentored by angel investors and then present their ideas at the regular Enterprise Angels showcase in Tauranga.

Ms Jennen said the initial course attracted six women and three men with a wide range of businesses ideas, ranging from tourism through to early child care and hi-tech.

"A lot of work needs to be done to get a deal ready for investors," said Mr Murphy.

"Plenty of Innovation provides inspiration, education and preparation, primarily of local businesses, so they can be put in front of investors."