Angel investors are individuals that provide startup capital to a startup business. They expect a percentage of return to their investment. This type of investment is common to US and Europe.
If you want to start a new business that is too risky and has a low chance to be approve from any financing bank, then your only chance is an angel investor. Angel investor is a private investor. They are often a successful entrepreneur who usually invests in small businesses either for economic or personal reasons. If you are searching for an angel investor for your small business, then this page may help you how to find them. By joining a professional organization or trade group for your industry, looking for among your business associates and research for the Internet, you can find an angel investor.
The best place to look for is among your business associates. This is an excellent way to find an angel investor you will have a high probability of securing funding from the people who truly knows you. The farther the connection the lesser the potential angel knows you and the lesser the chance of having an investment. But there is still a small chance if they have distinct understanding of your product.
Research on the Internet, many sites today gives a listing of angel investors per location. There are many sites that are available on the web that will help you find one. This can be a quick way to find angel investor in your area.
Join a professional organization or trade group based on your business. Attend to some meetings, this way you can get to know with some successful owners on your field that way be willing to invest money to raise your capital to start your small business. Try to ask someone who seems to be successful to your industry. They may be interested to your business or know someone who can.
Disadvantage of Angel Investing
1. Rarely make follow-on investments 2. Can be costly 3. Active company involvement can lead to problems
Angel investors can be your friends or colleagues that are successful in business. They can provide you with money, and they can assist you with some helpful ideas to make your business successful. You can find angel investors by searching on the Internet, joining a professional organization or searching for your business associates.
A good source of capital for your new business can come from an angel investor. Angel investor can provide an immediate capital for a business. And one of the advantages is that they can provide you with a tested idea to succeed in your business.
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