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Entrepreneurship

Angel Investors: The Harvesting Strategy

To wrap up this series on angel investors, I am going to discuss harvesting strategy. Some would say this is the most important step in the process. Knowing how, if and when you will see a return on your investment is crucial. There are seven harvesting methods, five positive and two negative. The positive harvesting […]

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Entrepreneurship

Angel Investors: Participating Roles

According to the book, “Winning Angels,” by David Amis and Howard Stevens, angel investors “follow participation roles that are a combination of the needs and wants of the entrepreneur, the company, and themselves.” (Amis & Stevenson, 2001) Basically, this means that, sometimes, the role of an angel investor is nothing more than being an investor […]

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Entrepreneurship

Angel Investors: To Negotiate or Not to Negotiate

According to “Winning Angels,” there are “four elements” up for consideration when negotiating a deal—structure, price, the amount of capital that will be invested, and what role, if any, you will play in the development of the company. (Amis & Stevenson, 2001) These angels are also aware that not every deal presents a chance to […]

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Entrepreneurship

Angel Investors: The Structuring Argument

Like most arguments, there are also two sides for the structuring dynamic. There are those who advocate for structure and there are those who say it does not matter. Angels who subscribe to the structure logic agree that they investors should pay “close attention” to how the deal is structures, while those who do not […]

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Entrepreneurship

Angel Investors: The Art of Valuing

“Valuation is what you are willing to exchange for something else you want.” This section touches on the value of an investment. While dollar figures are important in determining value, there is another factor that comes into play. According to “Winning Angels,” the “return” on an investment can also include other perks, besides money; for […]

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Entrepreneurship

Angel Investors: The Art of Evaluating

In the section on Evaluating, in the book “Winning Angels,” authors David Amis and Howard Stevenson tell us there are things to look out for when weeding out the not-so-good investment opportunities. Angel investors have to stay ahead of the game when it comes to choosing the right idea to invest in. Notably, the single […]

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Entrepreneurship

Angel Investors: The Art of Sourcing

(https://www.investopedia.com/terms/a/angelinvestor.asp Being an angel investor is risky business. Angel investors use their own personal capital to fund new business ventures. Determining the right fit is a tedious process which requires a lot of field research. The book “Winning Angels,” written by David Amis and Howard Stevenson, provides great detail on how angel investors should take […]