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AI Sleep Intelligence Secures $5.5M, Insider-only Boards Increase Catastrophic Risk, and the WealthTech Go-to-market Dilemma
🔥 Angel Deals of the Week | October 9, 2025
Andrew Kazlow
October 09, 2025 • Reading Time: 8 minutes
Happy Thursday.
In today’s issue:
Angel Deals of the Week | 96 Deals, 69 Networks
STAY TUNED: We’re about to cross 100 angel deals featured. Special subscriber only analysis dropping on 10/23 to celebrate. Don’t miss it!
Bookmarks I think you’ll enjoy
The best nugget from my conversation with Marshall Smith, Managing Director of First Rate Ventures
🔥 Angel Deals of the Week
In JUST 2 WEEKS we’ll cross 100 angel deals tracked. To celebrate, on Thursday 10/23 at 12pm CT I’m dropping a HUGE subscriber-only report. Mark your calendar.
Angel funding rounds announced in recent weeks, compiled from public sources. These deals represent the elite few that survived an angel network’s vetting process. Note: I have not personally analyzed these companies and am sharing for informational purposes only.
🤖 Deal summaries generated using dealmemo.ai.
📊 Angel Network Investment Tracker: 96 Deals, 69 Networks.
Nerveli | Personalized chronic pain management platform
Participating Group: DFW Angels (formerly Tie Dallas Angels)
Nerveli develops a personalized pain management platform using proprietary science-based methodology, gamified Cognitive Behavioral Therapy, and machine learning algorithms to help chronic pain sufferers understand and manage their condition. Selected for Techstars (less than 1% acceptance rate), the company recently secured an oversubscribed $430,000 pre-seed round led by DFW Angels, with SPV participation from over 20 investors.
Leon Jacobson | $430K Pre-Seed | Dallas, TX | September 2025 | Source
Sleep.ai | AI-powered sleep intelligence platform
Participating Group: Harvard Business School Alumni Angels of Greater New York
Sleep.ai, formerly SleepScore Labs, is developing an AI-powered sleep intelligence platform leveraging 800 million hours of proprietary sleep data and 250+ scientific studies. The company recently raised $5.5 million led by Treasure Coast Ventures with participation from Nurture Ventures, Harvard Business School Alumni Angels of Greater New York, Supermoon Capital, and others. The platform powers APIs, Software Development Kits (SDKs), and consumer apps serving partners across digital health, insurance, and wellness sectors.
Colin Lawlor | $5.5M Round | Carlsbad, CA | August 2025 | Source
Nullspace | RF and quantum simulation software
Participating Group: Golden Seeds LLC
Nullspace is developing electromagnetic simulation software for RF and quantum computing applications. Built on over a decade of DoD-validated technology, the company's flagship product, Nullspace EM, enables engineers to simulate complex designs for aerospace, defense, and AI-enabled hardware markets. The company recently raised $2.5 million from Golden Seeds, Fathom Fund, and other strategic investors to expand its engineering team and accelerate product development.
Dr. Masha Petrova | $2.5M Seed | Huntsville, AL | August 2025 | Source
📣 Have an Angel Deal to Announce?
🔖 Bookmarks
⏰ “When Should I Sell?”: David Zhou breaks down the year 7-12 secondary playbook with some thoughtful math on when to cash out vs hold.
📊 Board Composition Really Really Really Matters: Research from Andre Retterath at Data Driven VC shows only 34% of startups add independent directors by Series A, and an “insider only” board dramatically increases risk of catastrophic failure.
📜 "You Can’t Make a Good Deal with a Bad Person” Robert Glazer on the difference in contract fulfillment with good vs horribly bad business partners.
🥇 The Nugget: My Top Takeaway from A Conversation with WealthTech Investor Marshall Smith
Enterprise wealth managers are allergic to startups 🏦
WealthTech founders often go after big banks first - after all, one enterprise deal could make the company.
But Marshall warns that exclusively focusing on these customers can be a fatal mistake. Large banks and enterprise wealth managers often take 12-18+ months to close, require strong balance sheets, and simply won't risk doing significant business with most startups.
Key question: Can the startup survive that long?
In contrast, independent RIAs (registered investment advisors) are easier to sell to but offer the smallest checks and are extremely price-sensitive. It’s a brutal, but important tradeoff to understand: easy-to-close teeny deals versus nearly-impossible-to-close mega deals.
From Marshall: “The largest banks and largest enterprise wealth managers in the U.S. are allergic to doing business with startups. Now, you might say: “‘Well that's why their tech is so backwards and old, and when I want to work with my bank, they say: ‘Walk into the bank instead of using the app.’” But that's a real thing, and it's because they're risk averse.”
Takeaway: When evaluating a WealthTech deal, here’s your first question: "Who is your target customer?" If the founder says "enterprise banks," follow up questions should be:
How much runway do you have? (Regulated businesses won't touch it without 18+ months)
What's your backup plan if enterprise sales take 24 months instead of 12?
Have you considered starting with independent RIAs to build case studies and a revenue base before going upmarket?
Want more? Check out my full conversation with Marshall 👇
Listen now on Apple Podcasts, Spotify, YouTube, and more.
🕵️ Looking for an Angel Group?
Finding the right angel community can be tough.
Answer 12 quick questions and I’ll curate 3 groups you might enjoy.
Even better - if one of them feels like a fit, I’ll personally make the intro.
Until Next Week 👋
Thanks for reading - have a great week.
-Andrew
P.S. If you enjoyed this post, could you do me a quick favor? Hit the "like" button or leave a comment with your thoughts. It may not seem like much, but it really helps me out a ton.
How did I do this week? |