See the top 7 Ranked Business Angels
What are Business Angels?
Business Angels are wealthy, entrepreneurial individuals who will provide capital to a small company in return for equity, thereby taking on a large level of risk. Generally they invest in companies requiring funding up to £1m and enjoy being actively involved in the business. Finding an Angel is often informal or through word of mouth but there are a large number of Angel Networks who will put on events aimed at introducing businesses to Angels. Some Angels networks will charge a subscription to attend events.
Top Tips:
- Clubs will show you businesses and business ideas but spend/invest your money wisely.
- Due diligence is the be all and end all for angel investment, you will have to conduct your own due diligence and seek your own legal advice.
- Networks are not recommending opportunities only presenting investment opportunities, so just because an Angel Network is showcasing a company it does mean it is investment ready.
- As this is a high risk area the Angels will expect a larger equity stake than normal.
- The Angels will be looking for an exit route (ie a floatation or sale) in order to maximise their investment.