1 Many angel investors are cashed out CEO’s and/or successful entrepreneurs.
2 Most angel investors are in the age range of 45 – 60 and bring considerable experience and many contacts to die for.
3 Angel groups have tremendous diversity and therefore there will be a lot of domain expertise available.
4 Angels make their own decisions – it’s their money (unlike VCs who are professional money managers).
5 Being experienced entrepreneurs/executives themselves, angels know the business plan will be constantly modified (been there, done that). They therefore understand business problems and can help/advise when adversity appears.
6 Most angels are motivated by helping the next generation of entrepreneurs – it’s in the blood!
7 The majority of angels typically invest $50,000 to $100,000 per deal with some investing as much as $250,000.
8 Most angels like to get into deals of a size between $500,000 to $1.5 million to take them to the next step of valuation or positive cash flow.
Investment by Angel investors brings credibility and access to networks, especially if they are on the Board of Directors or Board of Advisors.
9 Angels come in after “Friends and Family”.