Login | Join Network
Lost Password














A password will be emailed to you.

Role of Business Angel Investors

The wiki definition for an angel investor is “An angel investor or angel (also known as a business angel or informal investor) is an affluent individual who provides capital for a business start-up, usually in exchange for convertible debt or ownership equity. “ Angel investors are successful businessmen who are interested in helping startups in the initial stage of business.

A detailed business plan consisting of your product and services you are offering, market analysis and financial factors must be presented to your angel. The plan must clearly explain how much money you require, how it will be utilized, what are the returns and the time taken to make profits.

An article in Small Business Notes says “the total investment from angels has been estimated at anywhere from $20 billion to $50 billion as compared to the $3 to $5 billion per year that the formal venture capital community invests.”

Angels usually invest in small companies that are situated close to their business areas.

Angels will have 5 % to 25% stake in your business. Since they are entrepreneurs themselves they will lend a helping hand in various areas of your business. It is important to build a good relationship with your angel since he will be an integral part of your startup.

  • Print
  • Digg
  • StumbleUpon
  • del.icio.us
  • Facebook
  • Yahoo! Buzz
  • Twitter
  • Google Bookmarks
  • LinkedIn
  • PDF
  • RSS
  • email

More on Entrepreneur21.net:

Fundamentals of Marketing Basics
Key marketing terms and concepts
Small Business Venture Capital
A great idea is just the beginning of a new ventur...
Choose the Right Business Solution
Every entrepreneur kick starts his business with a...
Ideas for Closing Sales Deals
Many entrepreneurs mistakenly think that making th...
Sales Growth Secret
Sales growth strategies are a part of every compan...
Joe Kintzler, CEO/Founder of PitchEngine.com
In this video, Joe Kintzler, the CEO/Founder of ...

Leave a comment

Disclaimer: All pages within GenMembers network are expressions of the opinions of the site operator only, and no representation of factual accuracy is being made. The content is intended to create interest in various topics for our readers, who are in turn encouraged to conduct their own independent research. This site is not related to: Entrepreneur Media, Entrepreneur Magazine, Entrepreneur of the Year, Entrepreneur's Partner, Hispanic Entrepreneur, Entrepreneur.com, Entrepreneurs.com Entrepreneur's Only, The Entrepreneur's Source, Entrepreneur's Notebook or any of the many companies that use the word entrepreneur in there trade name. Please see our website Terms of Use for further information concerning your use of the site.