Today we are going to talk about the angel investors and about everything that is related to them which can interest you. There are a lot of things that the entrepreneurs should know about angel investors. The thing is that actually angel investors invest when it is all just starting. Well, you have to know it all angel investors invest in the beginning when the startup is just rising and they do it in return for ownership interest.
Many entrepreneurs also wonder how much the angel investments usually are. Normally they can restart from 20000 or 25000 dollars and reach up to 100000 dollars or sometimes even more. Most of the startup entrepreneurs think that it is very easy to attract the angel investors. This is not true as there are some criteria that the angel investors look up to. The quality and passion is of course very important for angel investors. They will pay attention to the quality of product or service that you are offering. What they also try to pay attention to is whether it has a big potential in the market or not. In order to be attractive and to draw the attention of angel investors you have to have great potential in the market otherwise you simply will not be interesting to angel investors. No one is going to invest in you if you are not interesting to them.
Many entrepreneurs also wonder how long it takes to get to find the angel investor and to negotiate. Actually it takes more time than you can imagine. The thing is that normally there is a lot of negotiating between the entrepreneur and the angel investor, so it takes a lot of time to find one and to negotiate.
Now we are going to talk about the top five angel investors and how it is that they became the top ones.
This information will benefit you a lot if you are interested in finding investors for your company.
It has been lately founded that actually whether your company is successful or no you should determine by the strength of VS’s network., which is the key to angel investors’ success. Having a good network is the key to their success.
- One of the top five angel investors is the Y Combinator which was founded in 2005. It has invested in a number of successful companies such as Reddit, Airbnb, Codeacademy, Dropbox etc. They have funded up to 900 companies and 8 of them are so successful that they worth more than a billion dollars. Of course this company did have failures as well but normally they succeeded.
- Naval Ravikant is another angel investment which definitely is among the top 5 angel investors. It is actually respected in Silicon Valley and this company has funded Twitter and Uber. The company has helped around 100 companies making investments from 100,000dollars up to 10 million dollars.
- Tim Ferriss is another angel investor which definitely is quite successful and one should not take him for granted. Tim is more famous for his book 4 hours work a week but he is also a top angel investor. He has such a perspective helping the small investor companies making investments. He did not actually make very big investments but he has a really large network and he is indeed a top investor.
- Ron Conway is a philanthropist and angel investor which actually is named as the super angel of Silicon Valley. He has made investments in Google, Paypal and Ask.com. Conway says that actually his tactics is to invest in people first and then only think about the market and the size. This actually means that he is buying the brains first.
- Another top angel investor is Alexis Ohanian who is a co-founder of Reedit, where he currently is the executive chairman. He also helped to launch the Hipmunk travel search website and he was a partner in Y combinator. He is believed to be the number first angel investor and the strongest one nowadays according to several statistics.
As you can see there are several angel investors which are really impressive and it is a brilliant example of how you can get rich by investing. It is convenient both for the investor and for the startup. They help each other and it is just fabulous and great how companies by helping each other can become successful. These were the main things you should know about the angel investors. Find an angel investor for you and go ahead with your business, try to make your ideas good and make a good business plan, prove that you have great potential and show yourself in the best way. If you do so then you will become very successful and you definitely will attract angel investors.