Business Angels, a boon for young entrepreneurs

Are you setting up a new business, but have run out of funds in the midst of everything? Then you need not to worry anymore, as Business Angels will provide you a financial hand to set-up everything in your startup venture. However, it is not an easy task to Find Angel Investors, but there is a group of business angels which are running a large network of angel investors in India, known as Indian Angel Network (IAN).

As these angels are in Investors Business, they are always ready to support those who are Starting Small Business, no matter which industry it is related to. These angel investors have already supported many young entrepreneurs who had a strong business plan for the future. Indian Angel Network has invested its money in various industries such as agriculture & food processing, banking & financial services, biotech, pharma & life sciences, education, healthcare, media, entertainment and mobile VAS, travel, tourism & hospitality, etc. What this network of business angels needs is just a strong and profitable business plan, so that they can recover their money in a period of 3-5 years and exit through an IPO, M&A or strategic sale. This network is willing to provide funds up to USD 1 Million to any strong venture plan. Moreover, this group will also provide advice/mentoring and an access to its network.

So, if you have a strong business plan, but shortage of funds, then get the required funds from business angels and start earning huge profits from your high potential venture.

Get an Adequate Funding For Starting Small Business

Are you planning for Starting Small Business or venture to make your dream business become a reality? In that case, if you have shortage of adequate investment required to set up that business, then you need not to worry anymore, as Business Angels have arrived in India. This is because there is a group of investors, which is working towards turning dreams of people into reality. This group is known as Indian Angel Network (IAN), which has a team of dynamic CEOs from India and across the globe who hold expertise pertaining to various fields.

This organization provides seed money for establishing small business in various fields, such as:

• Agriculture & Food processing
• Banking and Financial Services
• Biotech, Pharmacy & Life Sciences
• Clean technology and Water
• Education
• Healthcare
• High end BPO / KPO
• Internet
• IT products & services

However, to get an adequate funding from Indian Angel Network, one must have a strong business plan, and should be well aware of the risk involved in that business. Moreover, he/she should be well aware of how much time is required to recover the investment made, as the Indian angel network has a period of 3-5 years to recover their investments put into your business. In addition to all this, as these angels are in Investors Business from many years and they are pretty much experienced, they will also guide you in setting up and promoting your business.

Why Angel investors are better than VCs for small business ventures

Angel Business Investors are those individuals who possess extensive industry experience as well as wealth and are willing to provide their funds and expertise to entrepreneurs. They partake in such activities since it provides them a good investment option that they can closely oversee, but certainly not control, quite unlike venture capitalists. And, the individuals who are looking for finances so that they can achieve their dream of Starting Small Business, these angels offer the requisite finances and guidance.

Usually, several Business Angels work along with each other in networks in order to cater to individuals with business plans pertaining to various industries. These investors or networks provide monies in the tune of US$ 1 million, while venture capitalists provide funds more than that. So, it is obviously better for entrepreneurs starting small business to look for angel investors, since they cater to the demographic of small businesses exclusively.

All investors business look for returns and angels are no different. Angel networks ask for a 10X return on their investment and even though this figure might seem daunting, it is an achievable target for the entrepreneur. Since business angels seek fields with high barriers, the individual they grant the funds to are meant to become leaders in their respective lines of work. VCs stay with the entrepreneurs’ companies for long durations of time, whereas angels depart within a period of 3-5 years, via means of IPOs, strategic sales or M&As.

Angel investments: Are niche markets investment-worthy?

Business Angels are investors who provide financial assistance as well as guidance in running a startup to entrepreneurs. These angels are experienced professionals who have made their mark in their respective lines of work and have consolidated their position in the field over and over again. These investors business look for individuals looking to enter markets with high barriers. Niche markets include areas of work that are not being catered to by mainstream manufacturers or service providers.

It is of utmost importance for anyone looking to set up a business in niche markets to have a strong case in order to get the requisite funding. While starting small business, all entrepreneurs look for the key demographic that they aim to capture with their product/service. In case of niche markets, the clients may be limited in number, which can prompt the business angels to not invest in the venture. And, in case the number of targeted audiences is not enough, the business would have to ultimately close its shutters.

Also, in case the number of consumers is sufficient, the question that ‘why are mainstream companies not satisfying the requirements’ arises in the minds of Investors Business. This is usually because serving the needs can be difficult or extremely expensive, so unless the budding businessman can produce the demanded goods at reasonable rates, the angel networks would not want to provide financial aid to him for starting small business.