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Nov 13

Angel investors 4

Judging from The Center for Venture Research profile, therefore, angel investors are not risk-averse, and realistic in their expectations.

Even if they are not willing to invest or loan money outright, or give other debt instruments, they can help sponsor you for a loan, and thus leverage their good credit rating.

Another interesting fact: Investors accept an average of 3 deals for every 10 considered.

The most common reasons given for rejecting a deal are insufficient growth potential, overpriced equity, lack of sufficient talent of the management, or lack of information about the entrepreneur or key personnel on the team.

For the new business seeking funding, the right angel investor can be the perfect first step in formal funding and start-up.

Therefore, consider your business plan in light of whether or not you wish to grow your company organically, through bootstrapping, or to try to grow it more rapidly with the help of an angel investor.

There are many pros and cons to both approaches, but for the moment you just need to ask yourself the question so you can start doing your research.

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