How we invest

A professional process, with members at the table.

Direct's team sources, screens, and performs due diligence on every deal, and negotiates the terms. Direct's network, built through 20+ years of relationships and spanning many industries, brings in deal flow and lends its expertise where members' judgment adds the most.

2004: The Structured Angel Fund™ invented. Professional management, individual upside.

  • Invented by Tuff Yen to give investors and family offices professional sourcing and management of angel deals
  • Professionally General Partner managed, with deal-by-deal co-investment rights for members
  • Pre-screened, vetted deal flow
  • Investors benefited from professionally sourced and managed early-stage investments; Investors added to their investments with side-by-side co-investments

The problem. Why Direct exists.

No structured pathway

In the early 2000s, financial institutions and advisors offered accredited investors no real access to direct angel investing.

A steep learning curve

Individuals faced flawed structures and little portfolio strategy.

No vetted deal flow

Without diversified, screened opportunities, individual returns suffer.

Narrow focus

Geographic and sector limits reduce the opportunities seen by investors

The solution. Eight steps to new investment opportunities, from first look to close.

01

Deal flow

Opportunities arrive from members, other investors, and Direct's own network, built through 20+ years of relationships.

02

Screening

Direct screens the deal flow.

03

Evaluation

Direct and industry veterans evaluate the strongest deals.

04

Due diligence

Direct's investment committee leads the diligence, drawing on the industry expertise of members across the network.

05

Terms

Direct negotiates and accepts the investment structure. Direct invests in the opportunity with its own capital.

06

Memorandum

Direct prepares an investment memorandum and shares it with members.

07

Presentation

The company’s founders and executive team presents to members, live, for co-investment.

08

Decision

Each member decides whether, and how much, to invest.

Investment scope. Industry- and sector-agnostic, with no geographic restrictions.

Direct invests in national and global opportunities across all industries and sectors, in a mix of early-, mid-, and late-stage companies.

All
industries and sectors
Global
no geographic restrictions
5–10 yrs
average hold period

Talk to us.

See the process at work in the next live deal.