Introduces angel investing as a concept and discusses recent developments in the industry. Angel investing has been a long-standing practice, dating back to Broadway play financiers at the turn of the 20th century and including wealthy benefactors of burgeoning business, like Laurance Rockefeller in the 1930s. Angel investing experienced high-profile success in the 1980s and memorably in the dot.com economy of the late 1990s. After the dot.com fallout in 1999 to 2000, Angel investing took hard punches and many angels retreated from active investing. The next generation of angels had different expectations, different experiences, and different practices. Focuses on the new generation of angel investors and the steps taken on both sides of the investing equation to mitigate the risks inherent in the relationship.

Protagonist Frank Ruderman evolved from entrepreneur to traditional angel investor and later to innovative angel or hybrid investor. Ruderman's investing group, Tenex Greenhouse, was created as a hybrid investing fund that brought together Ruderman's angel network with two institutional partners. At the outset of the case, Ruderman is in conversation with an entrepreneur/CEO who is seeking funding from the Greenhouse. Prepared for a class on venture capital, the case can serve as an introduction to angel investing and new innovations in angel investing. The fund in question has developed new techniques for fundraising (institutional partners) and investing (a narrow but deep focus).

This case introduces the story of RedMed, the leading provider of sleep apnea devices. The company, founded by Dr. Peter Farrell and Dr. Colin Sullivan (the device's inventor) in Australia, quickly became international. The company set up a second headquarters in San Diego and soon was selling devices in Europe, Asia and the Americas, in addition to its "home" market. The case addresses the various strategies the company followed to establish a position and gain leadership in its various international markets.

This case follows a team of founders--recent graduates from the Graduate School of Business (GBS)--from the earliest phase of company formation to the company's launch and successful beginnings. The four founders met and began discussions as students at the GSB. This case covers in some depth the specifics of the team formation, including discussing and establishing values, sharing and explicitly stating goals, and determining ownership and management roles. The team formally came together well before it had determined its business plan or even the business area it would pursue. It covers the team's search for a viable business idea and touches on the various paths for idea generation as well as some challenges the team faced. After the team has determined it will pursue an opportunity in wireless, the case covers its search for appropriate financing and for a strong management team to round out the founders' experience and skills.

In-depth look at the emergence of venture capital (VC) in Israel, tracking not only the industry itself, but also its many drivers, including high technology and its roots in Israel (government sponsorship, etc.). Examines the VC industry in 2001. Professional VC has grown rapidly, with growth driven by internal players capitalizing on local knowledge and experience and by non-Israeli firms, which have come to Israel looking to invest in the next high-tech winner. Asks what role the Israeli VC firms have in the future: Will Israeli VC firms be able to survive or will U.S. firms come in and pluck the best deals away? Should Israeli firms partner with U.S. firms and, if so, how? Should and can Israeli firms venture out of the Middle East and attempt to compete with U.S. firms on U.S. soil?

Introduces Handspring, a manufacturer of handheld devices, and concentrates particularly on the company's and founders' historical and forward-looking relationships. At the time of the case, Handspring is generating approximately $500 million annually in sales and is a leading brand of PDAs. The company founders are Donna Dubinsky, Ed Colligan, and Jeff Hawkins--the "legendary" team that developed Palm Computing's handheld PDA in 1992. The founders look back to their rationale for striking out on their own from Palm and the lessons learned and different paths followed in this second company founding. Focuses on the creation, valuation, and nurture of Handspring's myriad relationships, including supplier and manufacturer relationships, marketing agreements, and new business partnerships.