Where to Find the Most Angels to Fund Your Startup
By: Marty Zwilling
- Angels invest in people, more often than they invest in ideas. That means they need to know you, or someone they trust who does know you (warm introduction). For credibility, they need to know you BEFORE you are asking for money.
- Angel investors are people too. Investors expect you to understand their motivation, respect their time, and show your integrity in all actions. They probably won’t respond well to high pressure sales tactics, information overload, or bribes.
- Angels like to “touch and feel” their investments, so they are generally only interested in local opportunities. It won’t help your case or your workload to do an email blast and follow-up with 250,000 members around the world.
- Gust (formerly AngelSoft). This is perhaps the most widely-used source of information on Angel investor groups across the world, run by the “Father of Angel Investing in New York,” David Rose. This software platform is used by most local Angel organizations for managing deal flow.
It powers over 1,000 investment Angel and VC groups in 80+ countries. More than 200,000 startups have already used the platform to connect with 45,000 investors. As an entrepreneur, you simply use their investor search engine to find appropriate investors for your business according to location, industry interest and other relevant criteria.
- AngelList. This is another very popular website for raising equity or debt investments for startups. It was founded back in 2010 by Naval Ravikant and Babak Nivi of Venture Hacks, which is also a great place to visit for startup advice.
Although relatively new, AngelList already has featured over 42,000 businesses and provided over 28,000 introductions to potential investors in a format that’s, effectively, a social network for entrepreneurs and Angels. They claim to have already raised up to $200 million for startups, primarily in the US and Europe.
- Keiretsu Forum. This one claims to be the world’s largest single Angel investor network, with 1,100 accredited investor members throughout 27 chapters on t3 continents. Since its founding in 2000, its members have invested over $400 million in companies in technology, consumer products, healthcare/life sciences, real estate and other segments with high growth potential.
The Founding Chapter is in Silicon Valley, California, (naturally). A caveat is that this is a for-profit organization, so fees to present may be significant.
- New England Investment Network. This is an online platform connecting entrepreneurs based in Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island and Vermont, with Angel investors worldwide. The caveat here is that this network doesn’t have a personal touch, as it only facilitates the exchange of contact information, so the matchmaking is left up to you.
The reach is very broad, however, with 30 branches worldwide covering over 80 countries in Europe, North America, South America, Africa, Asia and Australasia, and over 500,000 members worldwide, perhaps the largest Angel investment community in the world.
- Angel Capital Association (ACA). ACA membership includes more than 200 angel groups and 20 affiliate organizations across North America. ACA member Angel groups represent more than 10,000 accredited investors and are funding approximately 800 new companies each year and managing an ongoing portfolio of more than 5,000 companies throughout North America.
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