StartupLounge Frequently Asked Questions
General Questions:
Q: Why did Scott and Mike start this?
A: Many in the region complain about the startup environment. We decided to do something about it. Frankly, we are simply wonderful people.
Q: What is your business model?
A: We don’t have one because it’s not a business. That’s the point. In fact, we are a registered 501c6 non-profit organization.
Q: Why is everything, including your events, free?
A: See above.
Q: So many events and things. Can you summarize StartupLounge?
A: Sure. (A) We educate entrepreneurs through events like PitchCamp. (B) We create and educate new angels through AngelLounge, and then use it as a vehicle for early-stage funding. (C) We mix them all together with a sprinkling of more traditional venture capital firms in our quarterly CapitalLounge event. Voila. Oh, and we do a silly podcast from time to time.
Q: You guys are doing a great thing. Thanks so much! How can I help?
A: Let entrepreneurs and investors know what we are doing. Encourage them to get involved. Tell them that for once, they aren’t going to get exploited.
Q: If you don’t have a business model, how do you pay for stuff like the event?
A: We’ve had good success with a Nigerian gold e-mail scam. Plus we have some generous sponsors who understand what we are trying to do and provide financial support.
Q: Which one is the dominant alpha male? Scott or Mike?
A: Scott. Mike is a liberal northern wuss. Scott can totally take him.
Event-Related Questions:
Q: Speaking of your events, how in the heck can I apply to attend?
A: It is actually quite simple. 1) Create your free account. 2) Create a profile. 3) Use your profile to apply for one of our events. 4) Wait until we can review/approve/reject your application.
Q: Do I need to create a profile every time I want to apply to attend an event.
A: No. Profiles have longevity. You use a profile of yours to apply for events. So create a profile once, and use it to apply for current and future events.
Q: Can I create more than one profile under my account?
A: Yes. Many entrepreneurs are “parallel” in nature, meaning that they have more than one venture going on at a given time. Similarly, many entrepreneurs are also angel investors, as are some venture capitalists. You can create as many profiles as you need to accurately define your role within the startup ecosystem.
Q: How do you decide who is allowed to attend various StartupLounge events and meetings?
A: We have a five-person steering committee that evaluates each application. Mainly, we’re trying to keep the salesmen out. This article can probably answer most of your questions about the actual selection process.
Q: What is the big quarterly StartupLounge event like (CapitalLounge)?
A: They are veritable feasts for the palate and the entrepreneurial soul. We get around 250-300 people per event and have seen ratios as incredible as one investor for every 4-5 companies there. In short, its a madhouse, but a madhouse that you actually want to enter.
Q: I got rejected from one of your events – what gives?
A: Chances are, you do not fit the criteria outlined for attendees of that particular event. In general, service providers, job seekers, and investor wannabes are going to find it difficult to become accepted to attend our events. Anyone who charges entrepreneurs for things like pitch rooms and access to capital or gatekeepers will also find themselves not welcome. Assuming you aren’t one of those folks, then more than likely your deal is not classified as a ‘fast-growth’ opportunity. Please read the event description carefully. And read this page which goes into an insane level of detail about our selection process. Also read this tongue-in-cheek look at some very easy ways to get rejected.
Q: I can’t log in, or remember my password.
A: A lot of people only log in when it is time to register for our quarterly CapitalLounge event, so it is understandable that one can forget their login credentials. Remember, your login name is not your email address – it is whatever you told us your login name should be.
Q: I applied to one of your events, and my application went from “pending” to “hold”. What does that mean.
A: Basically, that means we need to review your application in further detail before we can approve or reject it. 90% of applications go through the “hold” queue until we have time to process them.
Q: I applied to attend one of your events, but have not heard back. How long does it take to hear back one way or the other?
A: It really varies. Basically, it comes down to when we have time to go through all of the apps, research the companies, entrepreneurs, investors, etc., and then make decisions. Sometimes, an app can be approved on the same day it is submitted, and sometimes it can take weeks. While we wish we could provide a quick turn-around on every application, it is impossible given the volume of applications we receive, and the level of due diligence we try to use when vetting them. Also (for entrepreneurs), keep in mind that we prioritize deals based upon a lot of factors – your progress to date, how many times you’ve attended past events, your reputation within the community, the merits of your deal, etc. Yes, it is subjective – no way around that. We try to give priority to new deals, and deals that have traction, or at least have made material progress. Sometimes, if your deal is borderline, it will be kept in hold all the way up until the week of the event.
Q: I uploaded my executive summary to be distributed to AngelLounge, but have not received any word as to whether or not I’ve been approved to attend CapitalLounge.
A: This is because AngelLounge deal submissions have nothing to do with applying to attend our events.
Q: I keep applying to your events, and I keep getting rejected. Why do you guys insist on sending me email notices for events that I am apparently never going to be able to attend?
A: Because you are apparently too lazy to click the opt-out link at the bottom of the email, that’s why.
Q: I applied for the event, and haven’t heard back yet, but I still keep getting email reminders encouraging me to apply to the event. What gives?
A: Our email blasts are nothing more than reminders, and are not tied to your account at all. So you will get them no matter what the status of your application is.
Q: I’m a service provider and believe in your mission. I’ve gotta get in that room! I need to advertise on your site! Please! Tell me what I need to do to get you to let me in?
A: Even we can be bought. We have a very limited number of sponsorship opportunities available. But be forewarned – we have turned away sponsors that don’t get our mission.
AngelLounge-Related Questions:
Q: What is this AngelLounge thing all about anyway?
A: Simply put, AngelLounge is the largest organized group of angel investors in the Southeast, with over 100 active angel investors (and growing). They get together each month (in Atlanta) to have peer discussions on really cool things pertaining to angel investing. We started it because we wanted to (A) bring angels together for sharing information and (B) to encourage new angel investors and angels on the sidelines to get into the mix.
Q: Does this group make investments?
A: Yes, and no. The group is not an investment vehicle, directly, as they do not make investments as a “group” (i.e. we are not a pledge fund). However, angels in this group are very active, and want to see deals at an individual level. Each individual angel member is free to invest on their own, or with others in the group.
Q: How can I get involved as an AngelLounge member?
A: Simple. You have to (A) be an angel, or a high-net worth individual seeking to get into angel investing, and (B) you must not be a service provider (accounting, legal, consulting, etc.) It helps to be referred in as well, although this isn’t a requirement. All new angel members are screened/interviewed before being issued an invitation to join.
Q: How do deals get fed into the group?
A: Any entrepreneur who is a member of the StartupLounge community (it’s free, so why not?) can submit their deal to AngelLounge. All deals will get distributed – i.e. no middleman or gatekeeper in the way. Every entrepreneur who submits a deal will get a response within 1-2 weeks after submission.
Q: Is there a fee to join as an angel or submit my deal as an entrepreneur?
A: No. Since we’re a grassroots, non-profit organization, and one that has the best interest of the community in mind, charging silly fees would be kinda stupid now wouldn’t it?
Podcast-Related Questions:
Q: How many people listen to your podcast?
A: Way more than we ever thought. At the time of this writing, it is a little over 10,000.
Q: How does your podcast sound so professional?
A: We outsource. You’d be amazed at what work 9 year old Croatians can do. Actually we use PeachPods.com. Check ‘em out.
Q: I wanna be on your podcast!
A: No.
Q: No seriously, I really do want to be on your podcast!
A: Depends. Contact us. Note: we typically don’t like to be contacted by PR people, self-publishing authors, service providers, and consultants. Whatever topic you have in mind has to be instructional in nature – it somehow has to pertain to early-stage entrepreneurship.
Miscellaneous Questions:
Q: I just paid $3K to pitch to a room full of angel investors, but I don’t think I got my money’s worth.
A: Frankly, you would have had better odds in Vegas with that $3K. One of the driving principles behind StartupLounge is that access to capital should be freely available. We dislike middlemen and business models that force entrepreneurs to open their wallets for access to capital. We’d much rather you spend that $3K (or whatever) on something that is going to practically grow your business.