00:00:00:01 - 00:00:10:03
Christian Soschner
Have you ever wondered what it truly means to be an angel investor? Is it just about providing capital or is there more to it?
00:00:10:14 - 00:00:18:03
Philipp Baaske
You have to trust the founders as they do the best with your money. If you don't trust them and you have to control them with advisors, don't invest.
00:00:18:11 - 00:00:58:04
Christian Soschner
My guest in this clip from episode number 109 is Phillip Lasker. He's not just an angel investor, but also the chief executive officer of Nano Temper, a globally operating biotech company, with a vision to create a world where every disease is treatable. Phillip brings a unique perspective to the table in this clip. Phillip Lasker. And I delve into a thought provoking conversation about the role of angel investors, the expectations startups have from them, and how these roles can be defined and managed effectively.
00:00:58:12 - 00:01:20:07
Christian Soschner
If you find this discussion insightful, don't forget to like this video. Subscribe to the channel and share this episode with fathers who might benefit from it. Now let's dive into the clip and learn more about the complex dynamics between startups and their angel investors. And join the conversation.
00:01:21:01 - 00:01:46:02
Speaker 3
That had a discussion recently on LinkedIn. And I would like to ask you for your opinion on that topic, especially when it comes to angel investing in my belt. An investor is someone that deploys capital into a company to help the company grow. So basically in a business, Angel way company starts as an idea. It's some investment product doesn't qualify yet for finding customers.
00:01:46:02 - 00:02:27:16
Speaker 3
International investor can help the team, etc. the next step. So this is my investment view. On investment generally, it doesn't matter if it's a company, if it's a business Angel or a venture capitalist, it's pretty much the same role to deploying capital against equity. In the last ten years in the startup world, I learned that some startups have more, let's say, demands to their angel investors that you also would like to see them bring in their network on an operational level, that some sets that they would like to see the angel investor working basically for free in the company are very obvious.
00:02:27:16 - 00:02:49:20
Speaker 3
Have seen a conflict in me about I say, but this is not investing. So business Angel deploys capital into the company to help the team. It can also be mentoring once in a while, but the team needs to operate the business. And lately on LinkedIn, I had the conversation via comments with some initial funds, some seed funds. I say, Yes, of course.
00:02:49:20 - 00:02:58:01
Speaker 3
I mean, the investors need also to bring in the network and also bringing their expertise and experience. What's your opinion? How do you see the role of a business angel in a company.
00:02:59:05 - 00:03:17:12
Philipp Baaske
Not working for free as well? Also investing in being here as a mentor. But you have to define the role and you have to speak with the founders and define your role. What what are your expectations of more money? It's a network, and so you have to agree on it. And so also communication. So there's no turnover rule.
00:03:17:12 - 00:03:41:03
Philipp Baaske
I would say it's about talk, talking about it and increasing what you expect from it and what one side would deliver. It's about talking. I don't like this trade rules. It's good you have something you can you can hold on our rules. Yes. I mean, you a founder, everything is new to the crisis adventure and to know all you have this rules.
00:03:41:13 - 00:03:59:12
Philipp Baaske
I can stick to the rules. No, it's you. Define your own rules and this the legal laws. But you define the rules and you talk about it. And the world is complex. Accept the complexity and talk with each other. So the most important you have to break the rules. As a startup. You do new things.
00:04:00:22 - 00:04:22:00
Speaker 3
Dialog, clarity in and also in startups. I mean, what I like is seeing investors on tap, diverse people especially, and organizations who can bring in capital into a company if they have expertise in the field of the company. If, in my opinion, number one, it's always the second contracts or advisory contract or executive contract, Why not? Sites? What is the investment contract?
00:04:22:00 - 00:04:35:16
Speaker 3
The other one is the operation is role or a mentoring role. I don't like mixing up things or seeing a lot of people on the capital over that provided services some years ago in the start of the company and still on 2%. It doesn't make sense to me.
00:04:36:18 - 00:05:01:08
Philipp Baaske
And we all said this case in the very early days we had a business angel approaching us more or less. It was, Well, can we call in business? Angel Maybe not, but a person approaching us, they give you €100,000, invest in you, and you hire me and I earn €100,000 per year. I was just like you said. You have it on your CV.
00:05:01:19 - 00:05:24:23
Philipp Baaske
This makes no sense to to invest money in a company, to take it out and invest. So this is completely unknown trigger. This is also what I believe is some force. I think it has been cited. Couldn't afford to before see force you to have advisors who get money from them and send you have to spend €50,000 for a foreign as a name.
00:05:25:23 - 00:05:50:11
Philipp Baaske
So this can you can do it, but this would limit my freedom and independent firm. So to also why well investing €500,000 and taking out 54 advisor why not trying to make the most out of some money and means also you don't trust the founders. You have to trust the founders as they do the best with your money.
00:05:51:00 - 00:05:55:11
Philipp Baaske
If you don't trust them and you have to control them with advisors, don't invest.
00:05:55:23 - 00:05:56:07
Speaker 3
And that.
00:05:56:11 - 00:06:17:18
Philipp Baaske
It's a waste of time and money. I don't understand this concept. I understand it's you invest more sources. Managers are responsible for pouring money. They don't own the money. So you just got some money from family office, whatever. It's it's not your own money. So a risk aware. So so try to manage the risk and business. They waste money.
00:06:19:01 - 00:06:41:18
Speaker 3
I mean my personal preference is to have on the capital funds who can help capitalize the company in tough times or when the company opens a new market and can their stability to grow quicker with more capital, an investor can be on their payroll. When the investor brings expertise to the table, that's necessary for the stage of the company.
00:06:42:10 - 00:06:51:16
Philipp Baaske
But I mean, if I invest money, I don't need money to pay myself. It's I mean, I don't invest in loans of payroll. You invest the money because you have food.
00:06:52:08 - 00:06:54:12
Speaker 3
You would work for free for the company.
00:06:54:12 - 00:07:13:15
Philipp Baaske
I don't work for for the company. I have some and they need me, but I won't. It makes no sense to me because when I can invest money, it means I have enough money. And then putting yourself on the payroll payrolls, it's not. That makes no sense to me because as a business angel, you have to be aware that you lose money.
00:07:14:07 - 00:07:30:02
Philipp Baaske
It's high risk business. You believe in the team you want to have some. So this money is a waste for me, you know, getting on a payroll. It's also not it always makes some sense.
00:07:31:01 - 00:07:55:16
Speaker 3
I mean, so companies here in Australia, basically the business Angel dedicates the for work time 40 hours per week to the company. But I want to say, okay, but this is work for the company too. I don't it's not an investment road anymore. So it's more a combination of executive and investor. And in such cases I would say, why not separate that and say, okay, when you're an executive, let's be open and honest.
00:07:55:16 - 00:08:09:10
Speaker 3
We for a lot of people that this is an important part of the company and for future fundraising, it would also go down to droughts to find a solution, but future investors to also pay your remuneration. If any person dedicates 40 hours of their lives to their company.
00:08:10:03 - 00:08:30:08
Philipp Baaske
You know, like I said, you said you separate the roles. Like you said, I invest and take over as a CEO role and whatever sense trust means, I don't believe them. And so there's just a lot of work if you want to have a lot of work. But it's for me, it's much nicer to perhaps the guys in the CEO.
00:08:30:08 - 00:08:51:01
Philipp Baaske
So you evolve as an outsider. Sitting back and looking at some makes me feel good, makes me proud, and I don't want to have to spend career work into it. I believe some CEOs are experts and know it best when and you'd have to approach me. And so that's perfect.
00:08:51:19 - 00:09:09:12
Speaker 3
So I think we have the same opinion. And if you understood your right as an investor, as an investor, you invest in the company, you deploy capital, but you don't work for the company. Exactly. And you want to have teams that you can trust that they are the best solution for developing their product forward and finding product market fit.
00:09:10:00 - 00:09:18:02
Speaker 3
And you don't interfere with them, accept some mentoring or some support factors, but you don't go to their office and tell them how to do that.
00:09:18:02 - 00:09:25:09
Philipp Baaske
Your best, I mean, just makes absolutely no sense. They could have started when I know something best. I started business by myself. Yeah.
00:09:25:22 - 00:09:27:18
Speaker 3
So we cut back to trust people.
00:09:27:23 - 00:09:28:12
Philipp Baaske
Exactly.
00:09:28:13 - 00:10:01:14
Christian Soschner
Remember, being an angel investor is more than just providing capital. It's about mentoring, sharing experiences, and helping startups navigate that journey. Thank you for watching this insightful conversation with Philip Baskett. I hope it provided you with a deeper understanding of the role of angel investors in start ups. If you find this content valuable, please like this video. Subscribe through the channel and share it with your network.
00:10:01:23 - 00:10:16:21
Christian Soschner
Your support helps reaching a wider audience and to bring more speakers for more enriching content. Stay tuned for more insightful conversations on my channel. Until then, keep learning and keep growing.
