The term "Angel Investor" has attained great popularity in the last couple of years. For those who are still new to this term, an angel investor can be a person or a small company who has a substantial net worth and they are interested in investing in a private firm which is in its earlier stages of development. New business owners try to look in for such kind of investors who are willing to offer the start-up loan for kick-starting the business. However, the main point of difference between angel investors and the normal ones are that the former seems to expect a high ROI or return on investment.
How to search for an angel investor?
1) Close to your home or business place: You can start by searching for an angels who is close to the place of your business. Although this is not a compulsory criterion, however, an individual who stays close to your business area can be easily wooed for dumping funds into your business.
2) Family and Friends: Your first search of your angle investor should start amongst your family and friends. Many a times, people close to you will be willing to invest in your business but if you do not approach them, they may be hesitant to take the first step. However, most of the critics are of the opinion that this is not a good way to start a business. Pulling in your family and friends into business might create wedges in your relationships and might affect the business in a negative manner.
3) Impressing angel investors: You need to woo in angel investors and for this a carefully designed business plan is a must. It would be better if you are able to present with the working prototype of your company. Angels would like to see for themselves if their investment will be able to give them a high return.
4) Being a part of your company: In order to prove yourself to your angel investor, you can allow them to be a part of your company. They can help you to set up your business and can impart their valuable information and advice regarding how to run your venture. This is a great way to earn respect from them and will also help them to understand that you are for real.
Finding angel investors will not be a problem if you have the determination and hard work to start a successful business.
More detailed information and useful advice can be found at http://www.funded.com/ Created by Mark Favre, it offers expertise and assistance with developing and funding your concept, including a private forum for queries and discussions. If you need access to investors and funding providers, please do check our website.
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