BLOOMFIELD HILLS ? The Great Lakes Angels have created what?s called a Sidecar Fund to invest primarily in IT, medical and disruptive technologies ? including technologies developed in Israel. Another wrinkle on this project is the up to $5 million Angel Fund will become the farm team funneling more mature deals to a $50 million Venture Fund managed by Wingspan Partners and focused on Michigan and Midwestern start ups.
The Great Lakes Angels Sidecar Fund will invest from $50,000 to $250,000 in pre-seed and seed start ups in Information Technology, Disruptive Technologies, Medical devices, other niche opportunities. Fundraising began July 29 and the first close is scheduled for Sept. 30.
?What?s unique about this fund is there is an Israeli patent attorney originally from Michigan named Michael Neuvirth who wants to come home and introduce the idea to license Israeli technology to manufacture and distribute here,? said Ray Gunn, Managing Partner of Wingspan Partners, who will mange the Great Lakes Angels Sidecar Fund and the larger venture fund.
?He has developed a network of 2,300 doctors around the world who specialize in orthopedics and cardiovascular who will work with our organizations in the area of deal flow,?? Gunn said. ?The doctors would validate the technology and work with us during clinical trials. We want to capitalize on the life sciences, medical devices and diagnostics and other niche technologies, including those developed in Michigan and the Midwest.?
Gunn?s claim to fame came as CEO of Clarity Technologies, which was sold March 15 for $17.1 million in cash to United Kingdom-based CSR plc, a leading provider of Bluetooth technology. The next day with his cut of the cash in hand, Gunn started Wingspan Partners, a consulting firm to work with start up, venture and fledgling companies in the Midwest. Gunn is managing partner of the firm and Fred Nussbaum, a longtime associate of Gunn and former executive vice president of Clarity, his partner.
?Our community continues to be absent of true early stage venture funding,?? Gunn said. ?We have talent, know how, manufacturing expertise, but no money. We also have serial entrepreneurs, so the talent is in Michigan.
?We believe our funds will be wildly successful economically and create more opportunities for jobs and businesses in Michigan and the Midwest,?? he said. ?We?re not doing this because we are philanthropists, or we?re ideologues, but because we believe we?ll make a lot of money. We also want to make it possible for Michigan expatriates to come home to rebuild our state?s economy.
If you want to get a term sheet for either the Great Lakes Angels Sidecar Fund or Wingspan Ventures Technology Fund I, email Gunn at [email protected]
