Corrected, see below] “Mounting tensions” would be the journalistic cliche to describe recent relations between traditional Silicon Valley venture capital firms and the growing class of “super angel” investors—groups like Ron Conway’s SV Angel, Mike Maple’s Floodgate Fund, Dave McClure’s 500 Startups, Aydin Senkut’s Felicis Ventures, and Jeff Clavier’s SoftTech VC.
The relationship between these super angels and VCs matters a lot, because it could have an impact on investment for the next generation of small, Internet-based ventures. Thanks to innovations like cloud computing, many of these Internet companies don’t really need the multi-million-dollar rounds traditionally dispensed by venture firms. So, when the super angels aren’t sniping at each other about how to work with entrepreneurs (witness the blizzard of leaked e-mails prompted by TechCrunch’s “AngelGate” kerfuffle), the VCs are circling warily and arguing that big venture firms make better business partners than super angels, thanks to their larger networks and operational experience.
To read the full, original article click on this link: Threat to VC Is from Regular Angels, Not Super Angels, CEO Survey Says | Xconomy
Author: Wade Roush
