There are roughly 265,000 active individual angel investors. If you want to go the route of tapping an angel network — a group made up of up to 150 individual investors who pool their finances and share the due diligence work — there are more than 300 of those. In short, there are lots to choose from and they’re ready to invest. The challenge is finding the right angel investor for you and your business.
What a lot of founders don’t realize is that not all angels invest for the same reasons. Backing a startup is a bit like shopping for a car: Do you want a sports car that does zero to 60 in four seconds? A dependable sedan? A Prius that appeals to your environmentally friendly side? Keep in mind that monetary gain may be a secondary reason for some investors.
Here are three of the most common types of angels and what motivates them:
A good article on the subject of Angel investors. If you are a tech startup CEO, you probably already know how important angels are to your entrepreneurial ventures.
My advice… spend some time getting to know your local angel investors before you need $$ from them. Folks invest in folks they know, like and trust!