Episode Summary:
Having a clear investment thesis helps you make better decisions, improve your deal flow, and maximise your returns. Cheryl and Maxine break down exactly what an investment thesis is, why it matters, and how to structure one that fits your risk appetite, interests, and long-term goals.
They explore the core elements of an investment thesis, including industry focus, stage, business model, and geography. Plus, they highlight key company criteria investors should consider, from strong founding teams and large market opportunities to traction and defensibility.
Beyond just what to invest in, this episode also covers how to stand out as an investor, build a strong value proposition, and get access to the best deals. They wrap up with an essential discussion on portfolio construction, time horizons, and risk management, so you don’t run out of money before your portfolio has a chance to deliver returns.
If you're looking to sharpen your investing strategy and back better startups with confidence, this episode is a must-listen.
Key Takeaways:
00:00 – Introduction: Why your investment thesis matters
01:49 – Defining an investment thesis: What it is & why it's essential
04:49 – How to break down your thesis into clear categories
05:16 – Industry focus: Verticals, horizontals, and emerging trends
07:05 – Stage focus: Pre-seed, seed, growth—how to pick your sweet spot
08:24 – Business model focus: B2B SaaS, marketplaces, and beyond
10:01 – Geography: The pros and cons of investing locally vs globally
14:29 – Key questions every investor should ask themselves
17:24 – Company-specific criteria: How to create your investment checklist
22:33 – Evaluating market size and growth potential
25:39 – Pain vs pleasure: Investing in painful problems vs unmet desires
29:54 – Unique or niche theses: Second-time founders, alumni networks, and more
33:46 – Access and deal flow: How to attract great opportunities
38:35 – Understanding your personal risk profile & timeline expectations
Resources
Angel Academy – Comprehensive angel investing course for Australia & NZ: www.venture.academy
Aussie Angels – Cheryl’s platform for angel investing https://www.aussieangels.com/
Co-Ventures – Maxine’s venture capital firm https://www.coventures.vc/
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Mentioned in this episode:
Angel Academy - Best online angel investing course in Australia and New Zealand
Don't forget to check out the best online angel investing course in Australia and New Zealand, Angel Academy. It's fun, engaging, and packed full of insights from experienced investors to help you get started or level up your angel investing, visit www.venture.academy
February 2025 - Angels Academy
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