Have you thought about building relationships with Angel Investors in your entrepreneurial community?
Here are seven reasons for you to consider why this might be a good idea:
- If an Angel Investor decides to invest in you, then they have bought a stake in your company and startup success; you have not given anything away!
- Many Angel Investors are Successful Entrepreneurs and have exited their own startups and now want to help young Entrepreneurs like you as part of their commitment to growing the local entrepreneurial ecosystem. Ian Ritchie is a prime example in Scotland.
- If they do invest in your Startup, then it’s like adding an super-duper Founder to your team, this is what’s called Smart Money. They will often have experience, knowledge and wisdom relevant to your field that will be like a force multiplier on your existing abilities. This is far more desirable than getting a grant or taking on debt.
- They will also have extensive connections in the local and international Startup Ecosystem and can likely connect you to trusted partners, advisers and even potential customers.
- “People who ask for money, get advice. People who ask for advice, get money.” It’s never to early to start building relationships with Angel Investors, because they too like to do business with people they know, like and trust.
- Getting to know lots of Angel Investors takes time but is really important because it enables you to see things in context and build a picture of who is your ideal Investor and who is not. You will likely have them on your board for the next ten years so you want someone you can work with and trust is invested in your long term success rather than someone who is just looking for a tax break.
- Finally, the best Angel Investors know what’s going on and have useful intelligence because they talk to lots and lots Entrepreneurs all the time. Maybe not you though…
One of the best ways to meet Angel Investors is at events and The Startup Race runs monthly Angel Investor Meetups that you are welcome to attend.
You can see our upcoming events here https://www.meetup.com/Angel-Investor-Meetup/