After six years spent building a network of investors, the First Angel Network is undergoing changes that will enhance the benefits it brings to Atlantic Canadian businesses.

The changes range from a cosmetic shift like opening a new office to deepening its management team and expanding its geographic base in investments and portfolio companies. FAN has even changed the process it uses in selecting portfolio companies.

Co-founders Ross Finlay and Brian Lowe remain the pillars of the organization, but they have added business analyst Nicole LeBlanc. A certified general accountant, LeBlanc previously held a similar position with the New Brunswick Innovation Foundation, and Lowe says she brings depth to the organization, especially when conducting due diligence on candidates for investment.

The process of selecting those candidates is evolving. FAN is known for its scheduled investments – four investments per year – and that won’t change, though the selection process will. In the past, FAN received approaches from about 70 companies annually (a number that’s unchanged over six years) and brought one to its members each quarter to seek investment.  Now, these quarterly members’ dinners will include a sort of preliminary round.

At each dinner, the company selected for investment that quarter will pitch as usual, but three other companies will also deliver brief pitches, which will be rated by the members.  The winner is then invited to undergo due diligence with the intention it will be the featured company at the next quarterly meeting.

``It gives entrepreneurs a chance to pitch in the presence of a sophisticated audience, and get some actual feedback,’’ said LeBlanc, in an interview in the board room of FAN’s new office in Historic Properties in Halifax. The new method also enhances the selection process because the FAN executive gets feedback from its members before entering due diligence.

FAN is also expanding the services it provides to companies – both its portfolio companies and others in its pipeline – by enhancing its mentorship services. Lowe explained that FAN members frequently serve as directors of its portfolio companies, but as individuals with individual talents. FAN plans to find out what help the companies need and link them with members who have the expertise they require.

As a final initiative, the group is also launching a major membership drive in New Brunswick. As reported in the Telegraph-Journal, Finlay will soon embark on a tour of the province with the aim of attracting new members. FAN currently has about twice as many members in Nova Scotia as New Brunswick and the group believes it can attract more wealthy community-minded people in NB.