First, they do not guarantee anything other than the entrepreneur will be given time to give a 10 minute presentation followed by a ten minute Q&A session in front of one or more groups of angels.

Second, the angels are for real. Every one of them is required to fit the legal definition of “Accredited Investors” as defined by the Code of Federal Regulations.

Third, as mentioned in another response above, they actively filter out weak applicants before any money is charged. This has benefits for both the angels (the presenters are not total flakes) and the entrepreneurs (they meet a minimum level that makes them realistically fundable by the angels.

Fourth, a significant number of entrepreneurs who qualify to present and then pay the fee do get funded. The exact percentage varies widely, depending among other variables on the current economic conditions and which Keiritsu group they are presenting to, since different locations tend to have somewhat different industries of interest. However, Keiritsu does write checks. Visit their web site to see a partial list of companies that received funding each year over the past several years.

Finally, no one is forcing the entrepreneurs to go to Keiritsu Forum to raise funds. There are numerous, high-quality angel organizations, such as the Tech Coast Angels, which do not charge presenters. Whether Keiritsu offers sufficient value for the fee they charge is a decision that each entrepreneur must make for himself.

In summary, Keiritsu Forum is a legitimate facility for small and start up companies to get in front of qualified angels in an attempt to raise money from angel investors. Yes, they charge for their service, and no there is absolutely no guarantee that those angels will fund you, but it is not a sham operation. They have funded a lot of entrepreneurs and do have angels with real money to fund more companies. There are some really sleazy angel-introduction groups out there, but I do not believe that the Keiritsu Forum is one of them.

However, do not take my word for it. I suggest that entrepreneurs who are seeking investors should contact the local chapter of the Keiritsu Forum and ask to visit a meeting. They are typically held monthly and serious guests are normally quite welcome. You will get to see the process in action and will have a chance to meet some of the angels who are in attendance. Also, ask to talk to some firms that recently received funding through Keiritsu to understand how they saw the process.

What you say about paying to present seems intuitively correct. Keiretsu reminds me of the very few days I spent in Amway. It reminds me a bit more of the old-school style of “vanity publishing.” Does the author actually get books printed? Sure. Does anyone other than the author and their Mom ever see a copy? Nope. In the real world, vanity publishing isn’t publishing. And, I strongly suspect, Keiretsu isn’t much of anything, either.

I dunno from my own experience on this, but I trust you.

Griz

First of all, there is no humanism considered, to the fact I’m a student, I’m doing it part time and not as a business.

That is a 1/3rd what Keiretsu is charging, and is a dishonourable (Canadian spelling). Especially when #TWiST guests like @Garyvee prove that you don’t to pay marketers or domain squatters.

So now that you have almost won victory with Keiretsu, I BEGIN a JIHAD on domain acquisitions. Or let me know why I’m way off base with this.

If in your desperate serch for funding you come acrosse any organization that claims to represent thousands of potential investors, with promises of start up capital…”for a fee”. JUST WALK AWAY!

Find new avenues, network where investors hang out, research the internet for VC blogs…etc. But do not pay one of these hustlers to do what you can do yourself.

First ,with blood and sweat you, as an enterpreneur build a business,against all odds.

Then you try to go against big competitors ,take risks ,share equity with VCs.

In middle of all ,there are these hyenas like “Keiretsu” who sit on sidelines waiting to take a piece of your pie.
It is obnoxious and unethical.
WHY THE HELL SHOULD I PAY TO PRESENT MY PRODUCT – AM I GETTING A SALE ?