[Thun]

Hi Diolpah,

Sorry if our article came off that way, it may not have been very clear from our post, but we look at startups from a number of different sources both in and out of our network.

As the junior guy in a VC firm AngelList applies even more because I don't have an extensive network compared to those that have been a VC for 10+ years. We are active users/big fans of what Naval and Nivi have been doing,and we led a Series A for FlashSoft from an intro on AngelList.

As for your article, I wasn't the cool kid at the table either (I remember sneaking off to play MTG at lunch periods). I am all for democratizing the fundraising process, and I actually think setting up some rules and parameters around how you rank startups helps focus how you look at a company even if it is "hot."

[diolpah]

How exactly do you look at startups outside your network? Do you actually take seriously incoming email pitches or cold calls? Do you actively seek out little-known companies that you think you could add value to?

I am a little curious as to how the FlashSoft deal was introduced to you via AngelList, but I understand it's unlikely you'll be able to divulge much, if any, details on it. Even on AngelList, one has to have followers in order to request introductions; yet one has to be visible to get followers, and visibility is determined largely by follower count. I have a difficult time understanding how networks are formed on AngelList without having preexisting networks.

[Thun]

I think that your question will be a good topic for a future blog post, but as a quick answer regarding AngelList.

As an investor you specify which industries/verticals/geographies you are interested in. Their system then emails you with matches to those criteria, and FlashSoft initially came through this way. I then went and did more research on their full-length AngelList profile, shared with the team, did an intro to their CEO Ted, and the process started from there.

We hadn't ever met Ted, and this was their first institutional round as well. We didn't need to have a pre-existing connection or network, rather it was specific to the types of startups we wanted to receive information on. You can see the criteria that we set out here: http://angel.co/thomvest

Thanks!