Welcome to Finance Resources

Angel Investors

An angel investor is an individual that is active in venture financing, usually participating at the early stages of a company’s growth. An angel investor is not an employee or member of a bank, venture capital firm. If you want to get an angel investor for your small business there are many of places to turn.

Many angel investors are successful entrepreneurs who want to help other entrepreneurs get their business started. They are like the bridge from the self-funded stage of the business to the point that the business needs a level of funding that a venture capitalist could offer.

The term "angel" came from the practice in the early 1900’s where wealthy businessmen investing in Broadway shows. Today "angels" typically offer experience, expertise, and contacts in addition to money. Less is known about angel investing than venture capital because of the individuality and privacy of the investments, but the SBA estimates that there are at least 250,000 angels active in the country, funding about 30,000 small companies a year. The total investments from angels have been estimated at around $20 billion to $50 billion. The potential pool of angel investors is very large. There are about two million people in the United States with the net worth to make angel investments

Comment

Name

E-mail