- How to manage ageing debtors
- How to do a good phone & email etiquette
- How to make a customer pitch
- How to manage your time effectively
- How to conduct business meetings
Today, you have many more investors and there are plentiful who trust startups and invest in them. This is probably thanks to the advent of technology. Since technology advanced to new levels, starting up has become inexpensive. The capital required today, when compared to what was required about a decade ago, is very less. This has mainly encouraged angel investors to invest in startups as well. Angels like to start off with smaller deals and they make quicker decisions than venture capital firms.
Before even thinking of knocking on the doors of angel investors, it is imperative that you understand their function and what they can provide you with so that you are not in a mess in later stages.
They Are Not Really Angels
The word ‘angel’ has a spark to it; it has a feel-good quality that reminds you of someone extremely helpful. That is probably why many people have the misconception that angel investors do charity work or donation work. That is not true. Angel investors are usually professionals and very successful entrepreneurs with their priorities. The biggest advantage of going with these investors is that they are more open to take risks for startups that interest them. Thus, you should start off by understanding their priorities and interests.
Angel investors are more likely to invest in startups that are close to home. This is because they will be able to oversee everything that is going on. Therefore, if there is no angel network in the area you are located at, it is time to move.
Angels Will Always Look for Loopholes
Your business plan may be excellent but there are barely any business plans that are sans loopholes. When it comes to investors, they look for business models that are working towards making huge sums of money. At the same time, they look for disruptive plans that are unique and stand apart from the norm. However, if your plan is indeed disruptive, you should be able to prove that you won’t break under the pressure.
Angels Will Pay Attention to your Team As Well
Angels will look beyond your background. They will want to be sure that your team has the potential to help your business grow and succeed. This is why they will take a look at your management team for proof of effort, motivation, and determination. Only when your team manages to showcase that will angels consider your startup. A lot depends on your team because ultimately, it will be your team taking charge and working towards the growth of your company.
Once you know about angel investors and where to look for the right ones, finding the interested ones according to your business plan and needs will become easier.
Angel investors are very helpful because they are usually ready to take risks by investing in a startup, provided they are interested in the business model. However, before making a move forward, understanding angel investors and their priorities will help your case.
Image courtesy of [Stuart Miles] / FreeDigitalPhotos.net