Angel Investing

[netnet]

I was wondering if there were any angel investors on the board.  I am and I research extensively, but I would be interested in others experiences and methodologies.

[Travis Wiedower]

Mind talking about your own experiences as well? Angel investing is something I'd love to get involved in down the road. Some random questions off the top of my head:

 

1. How'd you get started?

2. Do you invest on your own or through a fund?

3. Average investment in dollars? Range as well?

4. How involved are you with the start-ups? Pure money investments or also director/mentor type roles?

[netnet]

1. How'd you get started?

So I got started when a friend came to me in desperation in a liquidity crisis.  The business was sound and I invested it what  was a debt like and secured. I would say the terms were tough but fair.  I made my money and we are still friends, Although I'm not the first person he turns to for investments, I may be the second.

2. Do you invest on your own or through a fund?

I do both.  It takes a lot of diversification

3. Average investment in dollars? Range as well?

25 to 50K

4. How involved are you with the start-ups? Pure money investments or also director/mentor type roles?

Honestly, it is a bit of an ego thing.  I think that I can add value and I like to see where my money is going up close.

 

[Pelagic]

1. How'd you get started?

So I got started when a friend came to me in desperation in a liquidity crisis.  The business was sound and I invested it what  was a debt like and secured. I would say the terms were tough but fair.  I made my money and we are still friends, Although I'm not the first person he turns to for investments, I may be the second.

2. Do you invest on your own or through a fund?

I do both.  It takes a lot of diversification

3. Average investment in dollars? Range as well?

25 to 50K

4. How involved are you with the start-ups? Pure money investments or also director/mentor type roles?

Honestly, it is a bit of an ego thing.  I think that I can add value and I like to see where my money is going up close.

 

Would you mind elaborating a little on the last point, I love hearing examples of investors getting involved in startups. If you'd prefer not to share specifics that's fine and I understand.

 

It seems Angel investors come in two types if they decide to be hands on. Some focus on providing access to a network of professionals (lawyers, accountants, tech experts, other investors etc.) that the entrepreneurs can benefit from. The other group is more hands on, particularly if they're investing in a field they're passionate about or have experience in, and takes an advisor role to the founders. I've always thought this was an interesting facet of Angel investing that you don't really see in other fields, I guess it is kind of an ego thing like you said but it's also a chance to shape the company as it grows. Not that Angels don't bridge both of these types sometimes or choose to be completely hands off and just provide funding.