HOW TO ATTRACT ANGEL INVESTment FINANCING
The first thing you need to do is have a good business plan outlining everything there is to know about your startup business.
A carefully researched and drafted business plan will put you in a good position when it comes to attracting the interest of an angel investor to your business.
Most angel investors have questions about the business and you need to have the right answers if you plan on getting funded.
When drafting your business plan, some of the questions you need to address in it may include;
- What is the problem?
- What problem is your startup business solving and how does it plan to do that?
- Is there money in the problem?
- Why are you the best person or business to solve the problem?
- What is your business credibility?
How credible and trustworthy is your business in solving the problem with regards to competitors if any.
- So what?
If your business plan provides the best answers to such questions, rest assured whoever is reading it may just be interested in giving you the much needed funding for your startup business.
Most startups have business plans that seem good on paper but lack market implementation strategies or practicality.
- How good is your business plan?
Sometimes it is best to have a professional draft your business plan before you submit it to any potential angel investor.
The most important way you can get angel investment is to have and submit a proper business plan to an investor.
The business plan needs to outline everything there is to know about your startup business, funding needs, and whether you are prepared to give equity or convertible debt in return for getting funded.
HOW TO BECOME AN ANGEL INVESTOR
Most angel investors are accredited investors with an annual income exceeding USD $200,000 or more, and disposable assets exceeding USD $1 million in value.
This is not a prerequisite for classification as an angel investor. An angel investor provides more favorable investment funding terms when compared to other investors or lenders.
They invest in the entrepreneur rather than the viability of the business itself. The main aim of an angel investor is on helping early stage startups begin their business.
An angel investor may just be what your startup business needs to get the funds for starting and running the business.
Getting angel investments is not easy and requires that you dedicate time and resources, to attract the right angel investor for your new business.
TYPES OF ANGEL INVESTORS
- High net-worth individuals
- Friends and family
This may also be regarded as a type of angel investment, since there is no obligation for return of the funding provided.
- Angel investment platforms
HOW TO APPLY FOR ANGEL INVESTOR FUNDING
Business plan; Prepare and submit your business plan, executive summary or proposal to your contacts of angel investors.
Be patient; Wait for response from the angel investors to see if they are interested in your proposal.
More information; If the investor is interested and requests for more information, give them and provide satisfactory answers to questions they may ask.
Get financing; If all turns out well, you will need to sign an agreement between you and the angel investor, and get the funding your startup business needs.
Angel investor financing is good for entrepreneurs and startup businesses that are having financial difficulties during the startup phase of the business.
It is also good for businesses that do not have enough cash flow or collateral with which to secure loans from lenders.
It is important for a startup business owner to consider getting funding from an angel investor.
The business owner needs to have clarity with regards to what the angel investor will bring to the deal besides funds including expertise.
You need to also agree on the business management and development structures to iron out any conflicting ideologies.
Have a comprehensive business plan to help your startup business attract funding from angel investors.
myhelpfund.com © 2022 All rights reserved. Find angel investors
DISCLAIMER: Myhelpfund.com: is a referral and consulting services business. We are not Certified Financial Advisers, U. S. Securities Dealer, Stock Broker or Investment Adviser. We are not business consultants and acting in the capacity of a financial intermediary who provides advice to private individuals on or about business matters. .Please understand that the contemplated transaction(s) is strictly private and in no way relates to the United States securities act of 1933 **(THE”ACT”)* http://sblcfinancing.com/assets/sa33.pdf and does not involve the sale of registered securities. This transaction(s) are private and exempt from the act. Each investor associated in any way, directly or indirectly with myhelpfund.com as a potential funding resource must be an "Accredited Investor" as that term is used in federal and state securities laws. Myhelpfund.com provides a service through which clients and investors/lenders may identify each other but makes no actual or implied representations concerning the availability of any potential funding or funding resource. Myhelpfund.com neither effects nor attempts to affect any funding or business relationship between clients and any associated in any way, directly or indirectly investor or lender, and nothing contained in these services offering material should be construed as an offer to sell or the solicitation of an offer to purchase a security. Clients and Investors/Lenders associated in any way, directly or indirectly with myhelpfund.com are solely responsible for compliance of such federal, state, tax or local laws which may apply between them in any funding transaction and (clients) of myhelpfund.com are solely responsible to verify all funding contacts credentials by doing due diligence themselves. myhelpfund.com is not responsible for any problems or conflicts between clients of myhelpfund.com and any funding contacts. Myhelpfund.com does not provide legal, financial or tax advice of any kind. If you have any questions with respect to legal, financial or tax matters relevant to your interactions with myhelpfund.com funding contacts/clients, you should consult a professional adviser. Most early-stage businesses and many other growth-focused businesses fail, and if you invest in a business as a direct or indirect result of myhelpfund.com it is significantly more likely that you will lose all of your invested capital than you will see any return of capital or a profit. You should only invest in businesses that you can afford to lose without altering your standard of living. Myhelpfund.com receives compensation of fees charged on funding that has been accepted and received by the clients. All up front fees paid to our referral partners through their website or by other means are subject to their own terms and myhelpfund.com shall not be held liable for the same. All clients' information and funding transactions positive or negative are held in complete confidentiality and no information will ever be shared outside of our funding network or sold and no clients will ever be used as a reference or referral to any future potential funding seekers considering joining myhelpfund.com