The UK Business
Angel Market 2020
british-business-bank.co.uk
The UK Business Angel Market 2020
British Business Bank
Contents
Contents
Foreword
3
UK Business Angels Association introduction
4
Executive summary
5
Introduction
6
Sizing the market
9
A tale of two surveys
10
1. Investing in the time of Covid
11
1.1. New and follow-on investments
12
1.2. Targeted smart money
13
1.3. Portfolio performance
14
1.4. Exits
16
1.5. Government schemes
16
1.6. Challenges and outlook for angel investing
18
2. Investments 2017-2019
19
2.1. Volume of investments
20
2.2. Value of investments
20
2.3. Performance and exits
21
2.4. Sectors
23
2.5. Decision making
24
3. Our angel population – 2019 survey
25
3.1. Gender
26
3.2. Ethnicity
28
3.3. Age
29
3.4. Experience
30
3.5. 2020 Survey
30
4. Geographic spread of angels
31
5. The impacts of angel diversity
34
5.1. Age and experience
35
5.2. Impacts on volume and value of investments
35
5.3. Decision making
37
6. Female angels
38
6.1. Why are there not more female angels?
39
6.2. Are there any encouraging signs?
40
6.3. What is the industry doing to improve gender diversity? 41
2
british-business-bank.co.uk
The UK Business Angel Market 2020
3
British Business Bank
british-business-bank.co.uk
Foreword
Foreword
The British Business Bank is committed
to developing clusters of angels and
enhancing business angel networks
across the UK, as part of its mission to
make finance markets work better for
smaller businesses.
This UK Business Angel Market report, now in its
second edition and published in collaboration with the
UK Business Angels Association (UKBAA), highlights
the important role angels play in seed and early stage
investment. Given the private nature of the majority of
angel investments, it offers a unique lens on trends in
such investments in the UK.
To build on the UK’s position as a scientific superpower,
we need to provide the world-class businesses of the
future with the capital they need to start-up, scale-up
and remain