How to Find Angel Investors
Angels invest their own capital at earlier stages than VCs. Typical: $25K-$500K. They provide mentorship and connections alongside capital. Industry angels offer sector expertise.
Angel Networks
Local networks: Tech Coast Angels, Golden Seeds, Band of Angels. Provide structure and due diligence. Understand local markets.
National networks: Invest across regions. Broader reach but less local focus. Some focus on specific industries or stages.
Application process: Submit pitch materials. Networks screen before presenting to members. Process varies by network.
Online Platforms
AngelList connects startups to angels. Shows investor profiles, criteria, and matching. Check investor activity before relying on platform.
Reality check: Platforms help identify angels but don't replace relationships. Most deals close through warm intros. Use platforms for research and targeting.
Industry-Specific Angels
Why they matter: Understand your sector. Provide relevant connections. Evaluate opportunities better than generalists.
How to find: Research successful exits in your industry. Track founders who became angels. Industry events connect you to sector angels.
Portfolio research: Check angel portfolios for industry focus. Crunchbase shows investment history.
Angel Terms and Expectations
Investment amounts: Individual: $25K-$100K. Groups: $100K-$500K. Varies by angel capacity and startup stage.
Valuations: Lower than VC valuations. Angels accept higher risk. Expect larger equity stakes for same capital.
Terms vary: Some require board seats. Some provide active mentorship. Others are passive. Understand expectations before accepting.
What Angels Provide Beyond Capital
Mentorship: Industry experience, startup guidance. Hands-on vs passive varies by angel.
Connections: Customers, partners, future investors. Industry angels provide stronger sector connections.
Credibility: Well-known angels signal quality to other investors and partners.
Regional Variations
Major markets: Silicon Valley, NYC see higher angel investments and more active communities.
Smaller markets: Fewer angels, smaller checks. May need to access out-of-region angels through networks or online platforms.