Opportunity

Queen City Angels (QCA) First Fund VI is open to investments from new and current investors until December 31, 2021, when it will close. The Fund opened and started making investments in March 2019 and has developed a very promising portfolio of high-growth, early-stage companies that is close to completion. This represents an unusual opportunity to invest in the Fund on the same terms as the initial investors, but with visibility to the current, active portfolio of 25 companies, with a number of additional investments to be made in 2022.
This unusual situation is the result of the convergence of two unexpected factors: 1) the impact of Covid-19 on the fund-raising process; and 2) the launch of a special funding program by the state of Ohio, for which QCA was required to wait until its delayed implementation. As a result, investors can join a Fund with a visible, analyzable, robust portfolio of companies rather than the normal, traditional investment into a "blind pool" with a strategy and plans, but no portfolio companies in the Fund.

QCA is one of the most active angel groups in the U.S. Since its formation in 2000, QCA has invested over $80 million in 100+ companies.

These investments have attracted over $700 million in additional funding from other entities, e.g., angel groups, venture capital and private equity firms, to support the growth of these companies.

Facts

Below are key facts to consider in determining whether to evaluate this investment opportunity in QCA First Fund VI.

Key Fact

Why This is Important to Prospective Investors*

QCA membership: The work to attract and assess possible investments and support portfolio companies is done by QCA members.

QCA membership has grown significantly, with increased diversity:

2015 2021
Total Members: 50 139
% Female 6% 19%
% African-American 0% 5%

QCA has subject matter expertise within its membership for most industries we review for investment. As all members are investors, it is in their vested interest to spend time and energy building and managing a strong portfolio.

Numerous studies validate that diverse teams get better results.

QCA sees strong deal flow and is highly selective about which companies are selected for investment.

# of Companies % of Total
Pre-screening 192 100
Screening 28 15
Presentation to
Due Diligence
19 10
Funding 16 8

Year after year QCA sees numerous companies seeking funding. QCA’s rigorous and well-documented processes allow for an increasingly thorough assessment of companies as they progress past each gate in our workflow.

QCA’s historical results for its previous Funds are noteworthy, and are all above the median for comparable venture funds. Results below reflect realized returns from successful exits and write-offs combined with projections of future outcomes from active portfolio companies.

QCA First Fund I-IV VC Benchmark IRR
ROI IRR
2.2X-3.3X 9-25%
Median Top Quintile
2-12% 8-18%

While past performance cannot ensure future success, prospective investors can assess potential results based on QCA’s previous investment decisions. Importantly, QCA’s processes and expertise have only strengthened since First Fund III. As an example, QCA recently developed and deployed to its members a 150+ page guide to all key steps of the assessment process.

QCA’s current and most recent Funds have a very high number of companies still active, compared with national data that indicate half of start-up companies fail within their first five years.

First Fund Total Portfolio Sold Failed Still Active % Active
V (2016-2018) 20 1 1 18 90%
VI (2019-present) 25 1 1 23 92%

QCA’s meticulous selection process is designed to identify and assess the strengths and weaknesses of prospective companies and make informed investment decisions. Further, QCA takes board positions in many portfolio companies (especially where QCA is the lead investor), allowing QCA to provide advising and oversight post-investment.

QCA’s First Fund VI is the most robust and diverse set of companies we have invested in to date.

15 different industries/sectors
18 have a fully qualified product or service offering
17 already generating revenue

Since QCA’s initial investment, many of these companies have been significantly derisked. QCA’s funding has helped a number of them undertake import product qualification, hire sales people to accelerate scaling, etc. In total, this allows the final investors in the Fund to benefit from the progress portfolio companies have made after two plus years of funding.

To learn more, please contact us

    *Investors in QCA must be accredited. According to the SEC, an accredited investor must have net worth, or joint net worth with the person’s spouse, that exceeds $1,000,000, excluding the value of the individual’s primary residence; OR have income exceeding $200,000 in each of the two most recent years or joint income with a spouse exceeding $300,000 for those years and a reasonable expectation of the same income level in the current year. For more information contact QCA, 4555 Lake Forest Dr Suite 650, Cincinnati, OH 45242, (513) 373-6972.

    QCA FIRST FUND VI PORTFOLIO

    Company Website Industry Value Proposition Location Offering
    Developed/
    Qualified?
    Selling/
    Generating
    Revenue?
    3barbiologics.com AgTech More viable microbes to increase crop yield Columbus, OH
    Akru.co FinTech Fractionalize real estate assets to simplify investing Cincinnati, OH
    Bertthinfilms.com Advanced Materials Breakthrough IP to replace expensive silver with affordable copper in solar panels Louisville, KY In process
    Cloverleaf.me HR Tech Thriving teams via coaching at scale Cincinnati, OH area
    Conveymd.com EdTech Education podcast platform for medical professionals. Memphis, TN
    Coupa.com (acquirer) Supply Chain Tech Tech platform to increase supplier diversity Cincinnati, OH Successful sale to large company; Positive return
    Contentstatus.com Digital Marketing Automated digital shelf audit/ content management tool Cincinnati, OH
    Crakn.net Workflow Tech Funeral home workflow platform to simplify and improve processes Cincinnati, OH
    Dartdisplays.com Retail Tech Increased retail sales via dynamic in-store digital signage Raleigh, NC
    Anchormydata.com Data Security Tech platform to protect company data Columbus, OH area
    Groupize.com Workflow Tech Comprehensive meeting and event management platform Boston, MA area
    Guardianmedicalusa.com Advanced Materials Designs, develops, manufactures, and sells novel terminally sterile packaging and packaging services for medical implants. Toledo, OH
    Healthyroster.com Health Tech Injury prevention at work and school via virtual diagnostics and treatment regimens Columbus, OH area
    Includehealth.com Health Tech Better patient outcomes while improving physical therapist utilization Cincinnati, OH
    Ischemiacare.com Health Care/Life Science Breakthrough blood testing platform that provides highly accurate stroke diagnosis Cincinnati, OH
    Joot.io FinTech Tech platform to optimize compliance at investment firms Cincinnati, OH
    Kurometherapeutics.com Life Science Pre-clinical cancer therapeutic leveraging immune response Cincinnati, OH In process
    Medilink Systems medacheck.com Med Device Device to measure usage compliance Cincinnati, OH In process
    Peerro.com Hr Tech Technology platform for young people and opportunity seekers of all ages to build their careers. Cincinnati, OH
    Plankk.com IT Helping fitness influencers develop customized training apps Franklin, TN
    PopBase N/A Digital Marketing Los Angeles, CA area Ceased operations
    Qualifi.hr HRTech Faster hiring by more efficient phone interviews Indianapolis, IN
    Resonado.com Audio Tech Streamlined speaker architecture enabling innovative design and optimal acoustic performance Chicago, IL
    Senseneuro.com Med Device Saving lives at reduced cost via better stroke diagnosis Cincinnati, OH In process
    Sharethis.com IT Ubiquitous sharing button enabling free engagement and growth tools for site owners Palo, Alto, CA
    Standardbariatrics.com Med Device Breakthrough tool for better bariatric surgery outcomes Cincinnati, OH
    Sureimpact.com FinTech Case management platform enabling organizations to communicate their social impact to funders and stakeholders Columbus, OH area
    Tpastream.com Insure Tech Automates employee benefits for simpler and more cost effective employee benefits management Cleveland, OH area