1. How to Find Angel Investors for your Business
Posted on February 21, 2012 by Maya Pillai
Have you exhausted the financial help from your friends and family to take your business to the
next level? What do you do? It’s time to start looking for someone who is willing to invest in
your start-up. Angel investors are investors or a group of investors who are willing to provide
you a second-round of funding or the seed money for a startup. In return for their favor, angel
investors will take a portion of equity from your company. However, keep in mind that these
investors will invest only a small amount of money but will expect a higher return and also a way
out of the business down the line. There are cases where angel investors want a monthly
management fee. This is because they are taking a huge risk on a relatively unproven venture.
Where do you Find Angel Funding?
Finding angel investors directly can be a bit difficult because they prefer to stay anonymous.
There are a few angel investors who have professional managers screen deals for them. You have
to find an investor who understands your industry and is familiar with your business model. We
have put together a few pointers that will help you find an investor who will understands your
needs.
© 2012 Apptivo Inc. All rights reserved.

2. Call your nearest university – Universities that conduct entrepreneurship programs can
help you find angel investors. You can schedule an appointment with the person who
conducts the small business programs. They will help guide you in finding an investor.
Websites – There are websites such as Angel List and Gust where you can locate angel
investors in your area.
Angel networks – There are certain investors who keep aside funds for angel
investments. They form a network of investors who have a professional team to help
screen entrepreneurs. Instead of having one person invest in a business, it would be a
group of investors who invest in your business.
Business Incubators – Another place where you can find angel investors is with
business incubators. The president and CEO of the National Business Incubation
Association (NBIA), Dinah Adkins, believes that there are around 1,000 business
incubators in North America and they are more than willing to offer formal or informal
access to angel investors.
Venture Capitalist Clubs – These clubs are usually non-profit groups formed by angel
investors. They sponsor events on numerous aspects of entrepreneurial such as writing a
business plan, how to obtain SBA financing, current management trends, how to seek
capital for your venture and much more.
Some other places to look for angel investors include Chamber of Commerce, Small Business
Development Center or the Economic Development Agency. If you are banking with your local
bank, they can give you information regarding the angel investments in your area.
© 2012 Apptivo Inc. All rights reserved.

3. It is a fact that Angel investors are a good source of funding for your small business. You should
also realize that investors are not going to write blank checks for you. They will want to see a
solid business plan, which displays the fact that there is a market for your product/services. No
matter what, you will have to make a couple of presentations about your business strategies
before you can convince them to invest in your dream project. A good investor will not only
provide you your monetary benefits, but also give you their expertise advice as well as
networking opportunities. Therefore, choose your Angel investor wisely.
Flickr image by 401k
© 2012 Apptivo Inc. All rights reserved.