Who are Angel Investors? Who are angel investors? They are usually entrepreneurs as well. Angel investors differ from venture capitalists in the sense that they are investing their OWN hard-earned money into your company rather than an institution of investors. They typically invest in the range of $25,000 to $250,000.

Immediate advice for dealing with angel investors... Don't waste time chasing investors that are more than an hour's drive from where your company is located. Angel investors primarily deal with face-to-face relationships. If something starts to go wrong with an investment, the investor wants to be on-site with no more than an hour's car commute. They do not want to have to catch a plane and jump aboard to hold an impromptu meeting with management team.

It is amazing how many first time capital seekers WASTE MONEY overnighting business plans to a party on the opposite coast after the shortest of telephone or email conversations. In reality, even small deals require MULTIPLE face-to-face meetings which they cannot afford.

Whether you find your angel investment from your rich uncle Ted or a prominent Angel Investor Group, it’s important to know that the universe of Angel Investors looks like and what you’re really shopping for.  If all you need is a little bit of cash and you’ll be on your way, then perhaps looking to your friends and family is the way to go.  However, if you think what you really need is a partner to grow this idea to the moon, it may be worth while to pursue a Professional Angel Investor.


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