US angel investor honoured

American angel investor Bill Payne. Photo / The Daily Post

Business incubator the Icehouse has established an annual award in honour of the contribution United States investor Bill Payne made to local angel investment during his stay in New Zealand this year.

The William H. Payne Active Angel Award will be given to members of the Ice Angel's network, which is made up of about 100 mainly Auckland-based members.

In a report delivered at the end of his six-month stint in New Zealand, Payne commented that some Kiwi angels were being "spoiled" and "spoon-fed" opportunities by business incubators taking too big a role in the running of their investment groups.

He said last month that leaders of New Zealand angel groups needed to work quickly to engage their members, making them active in all aspects their networks.

That would help avoid a "substantial under-utilisation" of angels, who often had years of personal experience that could be used to mentor start-ups.

Andrew Hamilton, chief executive of the The Icehouse, said Payne's visit had a huge impact on the angel scene in this country.

"Somebody said he might have helped bring our industry ahead by five years," Hamilton said.

"They [the Ice Angel board] wanted to do something significant for their network because they were so impressed with what Bill contributed," he said.

Angel investment was "fundamental" to the future of New Zealand's economy, especially as start-ups often had few other options for funding, said Ice Angels chairman Trevor Smith.