Join the 2023 GAIN Investment Prize

Introduction

Join fellow Georgetown Angel Investor Network (GAIN) members to invest in the winner of the 2023 GEA Alumni Pitch Competition at John Carroll Weekend San Francisco.

As the GEA Alumni Pitch Competition enters its sixth year, angel investors have a unique opportunity to invest in the winning company. Since 2019, Georgetown angel investors have contributed funds to an investment prize that goes to the winner of the pitch competition. The prize incentivizes companies to participate in the pitch competition and provides them with the option to raise capital for their startup. As a contributor to the prize, you acquire an equity stake in the winning company.

 
 

Benefits of Participating

Alumni investment support to Georgetown founders is core to the success of the Georgetown entrepreneurial ecosystem. The GEA Alumni Pitch Competition is a public example of Georgetown alums helping alumni entrepreneurs through mentorship, visibility, and access to capital. For your participation as a supporter of the GAIN prize you will receive the following benefits:

  • An equity stake in the winning company

  • Invitation to the 2023 GEA Alumni Pitch Competition at John Carroll Weekend in San Francisco

  • An opportunity to meet the entrepreneur finalists and the prize winner at the Pitch Competition in San Francisco

how it works

Participation in the GAIN prize is limited exclusively to members of the GAIN network. Funds are called after judges select the winner of the pitch competition and the winner elects to accept the investment prize. If the winner does not accept the prize, GAIN will not call the funds.

This year’s pitch competition will take place on during the weekend of April 20-23, 2023 in San Francisco. We encourage investors to attend in person to meet one another and the finalists. Prize commitments are due by December 15, 2022.

INVESTMENT PRIZE SELECTION, INVESTMENT AND PORTFOLIO MANAGEMENT

Investing in early stage startups is highly risky. Participating in the GAIN Prize adds substantial additional risk. You can expect the following from participating in the GAIN Investment Prize supporting the winner of the GEA Alumni Pitch Competition.

  1. Application Review: The GEA Alumni Pitch Competition review committee scores applications based on selection criteria that includes market opportunity, product, marketing, financials and team with each factor receiving an equal weighting. After scoring all of the applications the committee meets to review and discuss the top-scoring submissions. The process results in the selection of 5-8 semifinalists and ultimately 3-4 finalists for the live pitch competition.

  2. Finalist Selection: The review committee holds virtual pitch calls with the semifinalists to further evaluate the criteria and presenting strength of the applicant. After these pitch calls, the review committee selects the 3-4 finalists for the live event.

  3. Pitch Competition: The finalists conduct a live pitch presentation at the GEA Alumni Pitch Competition that is part of the GUAA signature annual event, John Carroll Weekend in San Francisco. Each finalists will have 8-10 minutes to deliver their pitch presentation followed by 8-10 minutes of Q&A from the judges. The panel of expert judges (5-7) selected from the GAIN network and alumni entrepreneurship community choose a winning company based on the quality of the pitch and a quick evaluation of the initial reviewing criteria. The judges, investors, and organizers conduct virtually no diligence on any of the companies that participate in the pitch competition. There is a very high probability that investors in the winning company will eventually lose all of the capital that they invest in the company. Most GAIN Prize investors choose to participate in the GAIN Prize as a way of supporting entrepreneurship at Georgetown, not to generate meaningful financial returns.

  4. Investment: If the winner elects to accept the investment prize, GAIN prize investors act as followers in the currently open financing round of the winning company. The valuation of that round and form of financing (SAFE agreement, convertible debt, or equity) is determined by the company and their lead investor. If the company doesn't have an already funded investment vehicle or security upon winning the competition, GAIN Prize investors will invest using a convertible note with 20% discount, 8% interest, maturity date of 18 months, and MFN provision. The entrepreneur may, at their election, sign agreements individually with shareholders or use a rollup vehicle to consolidate GAIN investors to a single cap table entry. Prize investors are required to commit to a $5,000 minimum investment.

  5. Follow-Up & Portfolio Management: Following the initial investment prize, the GEA Alumni Pitch Competition lead volunteer tracks the winning company’s progress and reports the portfolio results twice a year to the GEA and GAIN leadership boards.

HISTORY

In 2019, members of the Georgetown Angel Investor Network (GAIN) pooled their investment funds for the first time to contribute a $40,000 prize. Over 100 companies applied to participate in the pitch competition that took place as part of John Carroll Weekend in Boston, Massachusetts. The Georgetown Entrepreneurship Alliance (GEA) organized the pitch competition and narrowed the field to four finalists. At the pitch competition, a panel of judges that included angel investor judges from GAIN picked the winner.

GAIN Prize winners include:

  • 2019 - Renewal Mill: a Hoya backed next generation ingredient company that upcycles fiber and protein produced during large-scale food manufacturing into high-quality ingredients and products.

  • 2020 - Marcella NYC: a fashion company that seeks to revolutionize the ethics of fashion for the benefit of women and girls globally.

  • 2022 - Joylet: a baby and toddler gear rental company that gives parents access to the best baby gear with flexible rental terms and without storage hassles.

This year (2023) marks the fourth year that the alumni pitch competition will include a GAIN prize. Previously, the winner received a cash prize from a sponsor of the pitch competition. The 2017 and 2018 winners were Veterati and Tampon Tribe, respectively. GEA did not host a pitch competition in 2021 due to COVID-19.

DISCLAIMER

The Georgetown Angel Network ("GAIN") is not an investment advisor, venture fund, investment bank, broker, dealer or investment clearing‐house. It is a forum in which select members of the Georgetown alumni community ("Members") may be educated on aspects of investing in emerging companies and introduced to companies for possible investment.  GAIN is not registered as an investment advisor, broker/deal or in any other capacity with the Securities Exchange Commission or any state securities commission, and GAIN does not recommend or otherwise provide advice with respect to investments in any company, security or industry. Each Member is responsible for his or her own investigation and investment decisions.  All investments in startup companies involve a high degree of risk, and investors should be able to bear the risk of complete financial loss of their investment. The choice to use, manner of utilization of, and information and knowledge gained through, GAIN is each Member's individual choice. No guidance shall be given by GAIN, nor shall any person affiliated with GAIN (or GAIN itself) be responsible for a Member's use of the information, investment decision or the results of any investment.  GAIN does not conduct any investigation to verify the information submitted to potential investors by entrepreneurs and makes no representation or warranty of any kind regarding the investment opportunities presented or the materials provided through this network. GAIN does not provide any tax, compliance, reporting, legal or other advice, and Members should seek appropriate professional assistance in connection with their consideration of each investment opportunity.

LIABILITY LIMITATION

GUAA AND GAIN EXPRESSLY DISCLAIM ANY AND ALL REPRESENTATIONS AND WARRANTIES OF ANY KIND OR NATURE, EXPRESS OR IMPLIED, AS TO THE INFORMATION AND MATERIALS RELATING TO ANY INVESTMENT OPPORTUNITY PROVIDED THROUGH GAIN. AS A CONDITION TO YOUR PARTICIPATION IN GAIN, TO THE FULLEST EXTENT PERMISSIBLE UNDER APPLICABLE LAW, YOU HEREBY WAIVE AND RELEASE ANY AND ALL CLAIMS, CAUSES OF ACTION OR OTHER RIGHTS THAT YOU MIGHT HAVE AGAINST GAIN AND EACH OF ITS OFFICERS, DIRECTORS AND OTHER MEMBERS ("GAN PARTIES") ARISING OUT OF OR RELATING TO ANY INVESTMENT OR ANY MATERIALS MADE AVAILABLE TO YOU THROUGH GAIN. IN NO EVENT SHALL THE GAIN PARTIES BE LIABLE (JOINTLY OR SEVERALLY) TO YOU FOR ANY LOSS OF INVESTMENT, LOSS OF PROFIT, LOST DATA, BUSINESS INTERRUPTION OR ANY OTHER DAMAGES, INCLUDING SPECIAL, INCIDENTAL, INDIRECT OR CONSEQUENTIAL DAMAGES, ARISING OUT OF OR IN CONNECTION WITH GAIN, ANY INVESTMENT PRESENTED THROUGH GAIN AND ANY INFORMATION OR MATERIALS OBTAINED THROUGH GAIN, ON ANY THEORY OF LIABILITY, AND WHETHER OR NOT A GAIN PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.