Even in 2023, Alaska faces several problems related to its tech and energy sectors. According to the U.S. Energy Information Administration, Alaska is known to have the highest cost of electricity and highest per capita energy consumption in the U.S.

However, even with all these problems, several investors in the city are willing to boost entrepreneurs with funding as well as guidance.

So, let's wait no longer and move onto the list of top 5 angel investors in Alaska.

Top 5 Angel Investors in Alaska

Following is a list of some of Alaska's top private equity and venture capital firms.

Lightspeed Venture Partners

Website: Lightspeed Venture Partners (lsvp.com)

Investor Type: VC Firm

Investment Interests: cybersecurity, genomics, travel, retail, identity risk management, coaching platforms, networking and security.

Investment Stage: Seed and Late

Lightspeed Venture Partners is one of the most prominent venture capital firms that fund startups across America. Founded in 2000 by Barry Eggers, the network has funded around 1000 startups, displaying their commitment to the startup landscape. Headquartered in Menlo Park, California, Lightspeed Venture Partners are usually focused on seed and late-stage startups.

During the screening tests, the network focuses on startups that have the potential to generate high revenue and can solve real-life problems. They focus on companies that have a strong team and market presence.

Aside from funding activities, Lightspeed Venture Partners also focuses on the mentorship of its portfolio companies. Every year, they organize the Launch event that provides hands-on company-building support led by the board partner, their Lighthouse platform team, and their extensive operator networks.

The investment range of Lightspeed Ventures can range from $10 to $50 Million, depending on the startup. Some of their recent investments include:

Dexterity: Dexterity is a startup that creates intelligent robotic solutions for logistics, warehouses, and supply chains. Their robotic SaaS products equip robots with vision, touch, and human skills. They have raised $140 million in Series B equity funding and debt.

Descope: Descope is a cybersecurity startup that provides a developer-first authentication and user management platform. They aim to simplify the process of building authentication while also making it frictionless and secure. They have raised $53 million in seed funding.

Carta: Carta is a cap table management and valuation software company that helps private companies manage their cap tables and issue electronic securities5. They have raised $500 million in their eighth round of funding.

Epic Games: Epic Games is an American video game and software developer and publisher. They have raised $1 billion in a venture capital funding round, giving the company a valuation of nearly $29 billion.

Faire: Faire is an online wholesale marketplace that connects retailers with brands around the world. They have raised $400 million in a Series G investment round, bringing their total funding to more than $1 billion.

Venture North Group

Website: Our Team | Venture North Group

Investor Type: VC Firm

Investment Interests: Tech

Investment Stage: Early and Seed

Venture North Group is another angel investment group that focuses on Alaska-based startups. The network was founded in 2006 and has funded around ten companies.

Even when they are not active, Venture North Group usually searches for startups that can solve consumer problems and raise competition in the market. The investors prioritize startups with a massive growth potential that can generate 4x ROI within three years of investment.

Once funded, Venture North Group also organizes mentorship programs, guiding startups at different stages of their development.

The investment range of Venture North Group depends on the startup. From their previous investments, it is evident that they usually fund startups around $1M. Notable portfolio companies are:

Brice Companies: Brice Companies are a family of businesses providing civil construction, marine services, and quarry materials. 

Heather's Choice: Venture North Group makes delicious snacks and ready-to-eat meals geared for outdoor recreation.

49th Fund LLC

Website: Home (49thfund.com)

Investor Type: VC Firm

Investment Interests: manufacturing, energy supply, outdoor products, innovative technology, and food production areas.

Investment Stage: Seed

Founded in 2014 by Jamie Kenworthy and Carol Howarth, 49th Fund is a venture capital firm that focuses on Alaska-based startups. The Fund is headquartered in Anchorage, Alaska, and conducts most of its pitching competitions within the headquarters.

When investing, the network of investors highly prioritizes companies that have unique market ideas. Even if a startup doesn't have massive growth potential, 49th Fund still invests in startups, guiding them through their mentorship programs.

Like many other V.C. firms, 49th Fund, LLC also organizes many startup events to boost the growth of its portfolio companies. They have a network of senior mentors who guide startups through workshops and executive meetings.

The investment range of 49th Fund, LLC, can range upto $2M. Notable investments include:

Arctic Horse: A startup that manufactures all-weather outdoor apparel intended for women residing in cold regions. Their products include waterproof riding skirts, trail riding skirts, insulated riding skirts, woollen riding skirts, and horse reins.

Imagine I.T. Alaska: A company that provides 3D printing services. 

Swift Tools: Swift is an online commerce enabler. They have raised $2.2 million in funding led by Kalaari Capital with participation from the 49th Fund.

Tastee Beverage Studios: Tastee Beverage Studios is a company that works in the gaming sector and develops related products. Recently, they have developed a sci-fi combat racing game for the Oculus Rift virtual reality headset.

Alaska Equity Fund

Website: Home - Alaska Permanent Fund Corporation (apfc.org)

Investor Type: Investment Fund

Investment Interests: Logistics, Healthcare, and Food. 

Investment Stage: Early and Seed

The Alaska Equity Fund, also known as the Alaska Permanent Fund Corporation (APFC), was established in 1976. It was created by the Alaska Legislature and is managed by a state-owned corporation. It is also a part of the Alaska State Small Business Credit Initiative at the University of Alaska Anchorage under the Small Business Development Center.

When funding startups, the network looks for startups that are at the early or seed stage with unique ideas. Recently, the AKEF received funding from the U.S. Treasury and allocated $10 million to support the growth and establishment of equity investment funds. The AKEF invests in Partner Funds, Small Businesses, and SEDI-owned businesses.

As a private equity fund, AKEF doesn't organize any additional startup events or growth programs. They only provide mentorship programs limited to their portfolio companies.

The investment range of Alaska Equity Fund ranges from $50,000 to $200,000.

Cook Inlet Inc

Website: Home - CIRI

Investor Type: Investment Network

Investment Interests: Energy and Infrastructure 

Investment Stage: Early

Founded in 1972, Cook Inlet Inc. is an investment network that focuses on early-stage startups. Although they haven't been investing since their inception, Cook Inlet Inc. started to make private investments some years earlier with around five companies in their portfolio.

The network has a lending centre called Cook Inlet Lending Center that provides a Small Business Relief Grant and a Small Business Lending Program. The Small Business Lending Program increases access to affordable capital for small businesses operating in Alaska, with a focus on the Cook Inlet Region.

Similarly, the network also takes an interest in guiding their portfolio startups as well as conducting networking events. Cook Inlet Inc. has started a project called Building Entrepreneurship that demonstrates how integrated partnerships create a continuum of support for entrepreneurs.

The investment range of Cook Inlet Inc. can range upto $75,000. They do not provide public information for their portfolio companies.

What Should You Have Prepared for Your First Investor Meeting?

Even when you have found the perfect investor with identical business interests, it can be challenging and confusing to understand what needs to be prepared for the first investor meeting. 

Generally, for your first investor meeting, prepare a great pitch deck, dress formally and prepare a presentation.

Here is a short explanation of each of these steps.

Pitch Deck

When presenting a pitch deck, you need to show the solution your product provides, testimonials, transaction graphs, use cases and the team behind the hard work. Angel investors always prefer startups that have the potential to grow and have a hardworking team.

Formal Dressing

Most investors always prefer serious entrepreneurs who have a knack for prospering within their sectors. That is why it is important to dress formally and avoid any extras.

However, it is also important to research specific investors and dress according to their mindsets. For example, some investors are more inclined towards modern fashion, and this can be a plus if you show a similar mindset.

Presentation

During your presentation or Q&A session, the most important aspect is confidence. Angel investors would never want to fund a startup that is led by an insecure entrepreneur. Never be afraid to answer questions, and avoid using conditional terms when defining the success of your startup. Use real-time stats and show the investors why your startup is the best and most profitable investment.

Wrap-Up

In conclusion, angel investors, like all other businessmen, prefer investments that can generate profits. Research the investors, your competition markets and pitch accordingly to secure an investment.

Good Luck!

Frequently Asked Questions