Archive for the 'Vermont Law' Category

Angel investors breathed a sigh of relief with the final language regarding accredited investors in H.R. 4173 that was hammered out by the conference committee. The House has passed the bill and the Senate is expected to pass it. Section 412 now defines the required net worth to be an accredited investor as more than $1,000,000 excluding primary residence for individuals and spouse. The SEC may adjust this monetary threshold but not during the four-year period after the date of enactment. Thus the only change from the original definition adopted in 1974 is excluding the principal residence rather than including it. Earlier proposals had significantly raised the monetary threshold which would have negatively affected angel investment.

96 Degrees, Inc. d/b/a Drew’s, based in Chester, Vermont, was acquired by Gertrude Hawk Chocolates. The purchase price was not disclosed. Drew’s was founded in 1995 by Chef Drew Starkweather and employs 30 people at its production facility in Chester. Drew’s is one of the largest and fastest growing brands of natural dressings/marinades and organic salsas.

The U.S. Supreme Court unanimously upheld the U.S. Patent and Trademark ruling that severely limits the use of patents to protect abstract business processes utilized in software applications.

June VVN Update

Lisa Lorimer, co-author with Margo Fraser of Birkenstock fame, of  Dealing with the Tough Stuff, was the featured speaker at the June meeting of the Vermont Venture Network. Lisa gave a fascinating presentation on her 23-year tenure as CEO and President of Vermont Bread Company,  based in Brattleboro, Vermont. Lisa sold Vermont Bread in 2005 to Charterhouse Group, a leading middle-market private equity firm. Lisa has worked with Charterhouse to establish its Charter Baking unit using Vermont Bread Company as a platform for other acquisitions, including Adams Baking Corporation and Rudi’s Organic Baking.

Starting with an  eTown taping at the Flynn at which Will Raap was presented with the E-chievment Award,  the Slow Money Alliance attracted over 600 people who attended the Gathering which was held at Shelburne Farms, one of the most spectacular agricultural estates on the planet. Highlights included keynoters Bill McKibben speaking on Climate Change, panels on new investment models,  and presentations by 26 agricultural and food entrepreneurs. Slow Money introduced its new Executive Director, Ari Derfel. Stay tuned for further developments.

Ken Merritt just recently returned from attending several exciting events held at the NERD (Microsoft’s New England Research and Design center overlooking the Charles and Boston skyline). The Angel Boot Camp was well attended  and focused on encouraging investors to become angel investors. This event was followed by Tech Stars, five  promising technology-based companies presented including Stromatec, a UVM technology spin out. Next day, the New England Angel Capital Association held its quarterly meeting. Four impressive presenting companies championed by one of the New England angel groups presenting to over 50 angel investors.  The gloom and doom of 2009 is gone and there is a lot of positive energy and activity.