Wisconsin angel investing rose in 2011; venture financing down

Posted on Mar 20, 2012 :: Insight on Business, Web Exclusive.
Posted by of Insight Publications

Wisconsin firms raised more than $152 million in early stage funding in 2011, reflecting a record year for angel investments but a decline in venture capital financing from 2010 totals, according to a report by the Wisconsin Angel Network.

The annual “Wisconsin Portfolio” report tracks early stage investment deals in Wisconsin, including deals involving organized angel networks and funds, early stage venture capital funds and individual angel investors whose deals are reported.

Total early stage investments charted by WAN and the Wisconsin Technology Council for 2010 were $180.9 million, with $130.7 million in venture capital investments and $50.2 million in angel group and individual investments.

The 2011 total showed venture capital investments at $91.7 million – down about 30 percent but still above Wisconsin’s five-year average. Angel investments, including angel groups and individual “super-angels,” increased to $61.1 million, up about 20 percent. The 2011 angel investment total is a record since WAN and the Tech Council began collecting data in the early 2000s.

Since 2003, when angel network-only investments were pegged at $1.74 million, there has been a 35-fold increase in angel group and individual investments reported through WAN and the Tech Council.