If you have a big pile of capital sitting around and years of business experience under your belt, consider being an Angel Investor and invest in startups or early-stage businesses. This type of investing can be both financially and socially rewarding. Imagine being one of the first investors to help an unknown business become the next international powerhouse.
The average Angel investor deal commands 7 to 10 times ROI for the investor over a period of 5 to 7 years. Promises of a huge return on investments can be enticing, but do you really have what it takes to be an Angel Investor? It takes a lot more than just being an accredited investor to be an Angel Investor.
Most investments in startups or early-stage companies will require long term patience, a high-risk tolerance and hands on approach from the Angel Investor. This usually means not only capital funding, but business acumen in providing guidance and mentorship to help the entrepreneur in growing his venture.
It is possible to be a passive Angel investor, however being involved in mentoring, advising and consulting to ensure its success will help protect your investment. The first step is to learn more about Angel investing and see if it is right for you. The next step is finding a venture that is in need of funding and partnering with one that is compatible to your experiences.
A good rule of thumb is to invest in what you know. It is unlikely that your business knowledge in building a medical device company will translate into useful advice to an entrepreneur hoping to start an organic farm or record label. Success in Angel Investing depends more on the synergy of the investor and entrepreneur than the idea or business.
Two of the best online resources about Angel investing and finding entrepreneurs seeking Angel investors can be found at www.go4funding.com and www.gobignetwork.com. If you are ready to take the plunge into Angel Investing and network with the thousands of investors and entrepreneurs, these are two great starting points.
About Go4Funding:
“Go4Funding.com is an online platform that brings together entrepreneurs, investors, and business experts from around the world. In the “Funding Needed” section of our website, new entrepreneurs and existing business owners can post their capital requirements. In the “Looking To Invest” section, investors, who are looking to invest, can post their profiles so that entrepreneurs can find them easily. Sometimes entrepreneurs may not need capital but may seek business partners or the opinions of other experienced investors or entrepreneurs. Entrepreneurs can post these requests in our “Business Ideas” section. In the “Need An Expert” section, entrepreneurs can find experts in their field of industry by posting their requirements. They can even advertise work for equity jobs for experts (e.g. CEO, CFO, or marketing manager).”
About Go Big Network:
“The Go BIG Network is an on-line marketplace that connects the startup and small business community. The company allows startup companies, investors, advisors, job seekers and service providers to post requests for help on-line and have those requests routed to other members of the Network who can help them.
The Problem We Solve
The startup community is highly disconnected.
Startups, investors, job seekers and service providers all need one another to survive and grow yet at the same time they are hindered by their own lack of connectivity.
Go BIG allows members of the startup community to connect faster by exposing all of the demands of the startup community in one place.”
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