The Gem State Angel Fund, Loon Creek's newest member-managed angel fund has made its first investment. Read more below:
The state-wide angel fund invested in User First Software, Inc. dba LeanLaw. LeanLaw markets software and IT services to make small to medium-sized law firms more efficient. Its first software product is for time-keeping and billing.
Gary Allen, User First’s CEO says, “We are proud to be one of the initial companies supported by Idaho's first state-wide angel fund. We appreciate the critical role the broader Boise Angel Alliance plays in nurturing early-stage companies like ours and the mentoring and support it has provided to LeanLaw.”
“The Gem State Angel Fund is pleased to be the lead investor in LeanLaw, says Mark Roberts, the Chair of the fund. “We are hopeful that our investment will help the company to begin to scale quickly."
The Gem State Angel Fund is member-managed; members are responsible for assisting with screening, due diligence, company monitoring and other duties. Objectives include promoting business and economic development in the region while providing members with the potential for investment returns.
The fund has raised $1.3 million and is still actively selling up to 40 units of membership at $50,000 per unit to accredited investors who are residents of Idaho.
The Gem State Angel Fund is affiliated with the Boise Angel Alliance and is the fourth angel fund formed under its auspices. Previous funds have limited their Idaho investments to companies located in the Treasure Valley. The Gem State Angel Fund is the first to seek investors from throughout the state with an intention to invest in companies statewide.
The Boise Angel Alliance was created in 2004. To date, funds and members associated with the Boise Angel Alliance have invested over $20 million, mostly in local companies. The portfolio companies of these investments have created more than 300 jobs in Idaho with a 2015 payroll of approximately $38 million.
Boise-based Loon Creek Capital Group provides administrative and consulting services to the funds.