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Today's episode explores three ideas that caught my attention:
① Angel investing needs better data: Rick explains how his Six Sigma background shaped the way he thinks about angel investing, including why CTAN tracks dozens of metrics across its investment portfolio.
② Due diligence changes outcomes: Rick shares how board involvement, written diligence, follow-on investing, and industry diversification have all shown up in CTAN’s data as meaningful drivers of better angel investing outcomes.
③Many angel groups are still operating like supper clubs: Rick argues that too many groups gather, hear pitches, write checks, and fail to track what happens next. His challenge is simple: angel investing is an asset class, and it requires process.

Rick spent decades in finance leadership at Motorola and Cisco, where he helped apply Six Sigma principles to financial operations. In this conversation, recorded live at the Angel Capital Association Annual Summit, Rick explains how that same data-driven mindset shaped his approach to angel investing, portfolio tracking, member education, due diligence, and post-investment involvement.

During our conversation, he shares:
• How Cisco moved from a three-week monthly close to a one-day close.
• Why CTAN tracks 78 metrics across its angel investment portfolio.
• Why Rick believes many angel groups still operate more like supper clubs than professional investor groups.
• How board involvement and formal due diligence have affected CTAN’s investment outcomes.
• Why successful angel investing often takes five to eight years.
• Why Rick is concerned about secondary markets, SaaS liquidity, and the concentration of capital flowing into AI.

Connect with Rick:
Rick's LinkedIn
Central Texas Angel Network

Connect with Andrew:
Newsletter | X | LinkedIn | Book | Website

Stuff We Reference:
CTAN Investment Data
CTAN Entrepreneurs
CTAN Membership
ACA Data Insights
ACA Data Insight by Rick Timmins
ACA Angel Funders Report
Cisco Investor Relations
Six Sigma
Tech Coast Angels / TCA Venture Group
Angel Capital Association Summit
Austin Technology Incubator
Angel Capital Association
ACA Summit

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All opinions expressed are personal and may not reflect the views of the individual’s organization or of The Diligent Observer. Not investment advice.

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All opinions are personal and may not reflect the views of The Diligent Observer. Not investment advice.