Florida Funders has invested more than $1 million in 2ULaundry, a valet laundry service, according to Tampa Bay Business Journal. I've known about the potential investment for several weeks -- mainly because I participated in the deal through Florida Funders' crowdsourced angel investment platform.
Before I explain my view on this particular angel investment, here's some background on why I'm a Florida Funders member, and why I'm spending some time in the angel investor market:
- So, What's My Next Move? (April 4, 2019): Here, I essentially explain my continued obsession with channel entrepreneurs, partners, MSPs and MSSPs -- and my somewhat related journey into the angel investing market.
- My Angel Investment Strategy: 20 Exits by 2030 (August 16, 2019): Here, I explain my overall angel investment thesis and strategy, including target budget, deal pipeline, emerging partners in the journey, first investment and more.
- Finding My 'Why' In Business: As I've written before, I enjoy being around entrepreneurs, and learning how they build their businesses. Plus, I respect their knack for completing the most difficult task of all: Building businesses that create jobs and career opportunities for others.
Finding Angel Investment Number 02
My first investment involved Trash Butler, a “revolutionary doorstep valet trash service designed for multi-family communities.” The company raised $5 million in Series A funding back in April. Florida Funders was responsible for $4.1 million of that haul. I wrote a small check to be one of the angels in on the deal.
My personal deal number two involves 2ULaundry, an on-demand laundry and dry-cleaning startup. Admittedly, it's not a sexy SaaS or cloud company. The business doesn't scream artificial intelligence or machine learning. Instead, 2ULaundry reminds me of a well-run MSP business.
TruMethods CEO Gary Pica often describes managed services (and all business, frankly) as a math problem. You need to understand your costs, target profit margins, and plenty more to build out an overall financial model for your company.
The entrepreneurs leading 2ULaundry -- such as CEO Alex Smereczniak -- remind me quite a bit of Pica. Smereczniak and his leadership team know their past business numbers, current figures, future targets. Ask them about any metric in their business, and they typically know the figure -- on-demand.
Ask them why they plan to expand to City A but skip City B, and they'll tell you all the real-world demographics that drove the decision. Their knack for numbers reminds me of a classic line in the angel investing market: Bet on the jockey, not the horse. In other words, get to know and believe in the entrepreneur -- and their ability to build and ride the business to a successful exit.
That pretty much explains my decision behind Angel Investment Number 02.
Pursuing Angel Investments Number 03 to 20
The hunt is on for deals 03 through 20 -- part of a long-term investment journey through 2030 or so. I'll keep you posted. Special thanks to Florida Funders Director of Investor Relations Saxon Baum, and his tireless effort to answer every question I pose to the venture capital firm and its portfolio companies.
Disclosures: I have no current plans to angel invest in MSPs and/or tech companies in the MSP/IT channel market. If that changes, I will disclose such investments to readers. Got questions about my strategy or journey? Email me: [email protected].
