What Is An Angel? How Can I Become An Angel?
Individual investors who qualify as “accredited investors” under the SEC’s regulations and who make equity investments in early-stage companies often are referred to as “Angel” investors or, simply, “Angels.” Often, an enterprise in its very early stages is too young for the venture capital community to be willing to invest in it, or it seeks an amount of money that may not be substantial enough to justify the expense to a venture capital fund that investment would require. Sometimes, the founders of the new business are simply unwilling to give up the degree of control in their enterprise that the venture capital funds often require. An individual investor, an “Angel,” with a net worth or income sufficient to qualify her as an “accredited investor” under the federal securities regulations, may step in to provide the enterprise with its much-needed early-stage financing. In addition to “cash angels”, there are also people and organizations willing to invest time and to offer their expe
