AngelList has launched Angel Funds, full-fledged venture funds for angels to provide the infrastructure and capital to enable angels can make larger investments in startups, without the overhead of running a fund.
At the moment, there are already 35 angel funds with $50M invested or committed and there are over 225 active syndicates with $525M invested.
According to the firm, some Angels including Matt Humphrey, Rick Marini and Roger Dickey have already raised 35 angel funds, which invested $15M in 220 startups which have then gone to raise follow-on capital from Sequoia, Accel, Index and many others.
For example, Angel Funds invest into Marini’s angel fund raised $750K from backers on AngelList, including $50K from Rick himself. He will then invest the fund in 5-10 startups over 6-12 months.If Rick’s fund is profitable he receives a 15% carry on the fund while AngelList receives a 5% and there are no management fees but backers split a $12.5K fee to cover costs.
AngeList-focused Maiden Lane has committed $35M to the fund building on the $25M that Maiden Lane already invested in 125 syndicates, funding over 300 startups like Clutter, Cruise and Opendoor. AngelList.Angel funds can also raise capital from any backer on AngelList and traditional VCs and many others.