Profiling Angel Investors

Most angel investors are self-made multimillionaires. It is always best to meet your potential investor face to face rather than conducting business over the phone or internet as you will be able to have a better understanding of what your potential funding source is looking for in a small business investment. It is extremely important that you give some thought to the industry trends in order to predict your possible revenue steams in order to make sure that you get the best deal possible as it relates to working with a third party funding source. If you’re already in operation, you may wan to review a conventional loan or SBA loan prior to looking for an angel investor. This will ensure that you are not selling an undue portion of your business in exchange for the capital that you are seeking.

One of the best aspects to working with these types of firms is that they can provide you with greater access to capital as your business expands as they generally have many contacts within your industry. One of the alternatives to private investors and capital firms is to use Small Business Investment Companies that are licensed by the Small Business Administration that can provide your business with both debt and equity. Prior seeking any type of financing, you become very well educated as to how the process works and your CPA or attorney can provide you with this information very quickly. SBA loans generally great alternatives to angel investors if you do not meet the qualifications for an equity investment,

Large scale businesses may be better of working with a private equity firm rather than an angel investor. As it relates to funding source profiling, angel investors are typically risk-averse people. Alternatives to private funding include small business administration loans. If you’re seeking to acquire real estate may be in your best interest to work with the small business administration rather than dealing with the profiles of angel investors

In closing, the profile of an angel investor is an individual that is willing to make a substantial investment into a new or expanding business that shows great promise. It is important that you are able to effectively find a private investor that is accredited, according to SEC regulations, and is willing to help you on an ongoing basis as it relates to you continued need for capital. Throughout many of the articles that we will continue to produce, we will focus on these individuals and how you can obtain capital for your business venture.

Angel Investor List [] Download. No registration required! Includes Free Business Plan Template.


Looking For Angel Investors [] is a website dedicated to people finding private investment.

Matthew Deutsch is a prominent business plan writer. His work has been included in nine books pertaining to this subject. Additionally, Mr. Deutsch has written extensively on subjects regarding entrepreneurship, small business lending, angel investing, and other related topics.


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