5 steps to maximise your chances of an investor introduction

investor

Venture capitalists and angel investors typically invest in less than 1 in 100 of the companies they look at, so they spend their days saying ‘no’ to companies.. They also have to have a quick filter to decide no. They can’t waste a lot of brain cycles thinking deeply about every reject: they need to focus on the winners. So rejections come fast and furious. Getting an introduction means the entrepreneur convinced someone […]

The Angel Investor Casino – A CEO’s Ultimate Temptation

Angel Investor Casino

As a CEO, when you raise follow-on funding you often must decide what do with your angel investors. Many CEOs decide not to keep their initial commitment to their angels, falsely assuming it is both the only, and the accepted, option. Such CEOs don’t consider the very real and significant consequences of this decision. Today, we explain why CEOs, as the ultimate decision-making authorities, believe they don’t have a choice in […]

Why All Angel Investments Should be in Common Shares

I read David Rose’s book on angel investing during a recent holiday. It does an excellent job of explaining how professional angel investors (should) think. For those who don’t know, David is the founder of New York Angels, and is one of the world’s best known angel investors. However, David, like many professional investors, makes one major mistake in his chapter on deal terms. He specifies two ways for angel […]

Do you have a $20B market?

Does your business have a $20B market? We don’t really care: so stop trying so hard to prove it to us. I’ve just finished reading a series of business plans, where a number of entrepreneurs went out of their way to try to prove that they were targeting a massively big market. One even had financial projections taking his business through to something like $40B in sales (at a nice […]

‘Dumb’ vs. ‘smart’ investors

by Kamal Hassan If you are raising money, you may encounter the phrases ‘smart’ and ‘dumb money’, as a way to describe different types of investors. As an entrepreneur, you may wonder: which is better for me. should I try to get smart or dumb money? The first thing to keep in mind is that typically capital seems scarce. As an entrepreneur, you may not care who gives it to […]

Secrets of angel investing [2]

by Kamal Hassan One of the things that I didn’t expect about becoming an angel investor was that in many ways successes hurt more than failures. How can that be? Well a dirty little secret of angel investing is that it is very common for successful companies to not share the success of the company with the angel investor. This typically happens at a later, professional, round of financing. The […]