How to get started in angel investing?
It’s often the biggest barrier in life in general and certainly when it comes to starting out as an angel investor. Where and how do you get started?
In reality you need three things at a mimimum - the good news being that AwakenAngels has all of these at your fingertips:
Knowledge (the what’s, how’s, when’s, where’s and why’s or even more important - the why nots?)
Connectivity - operating in a silo in life in general can often be hard. It is no different when it comes to angel investing. You can of course fly solo but why do that if you have a community of investors to sit alongside. Some will be new to investing, others will be seasoned and have done it dozens of times before. All have something to bring to the table. Domain expertise, technical knowledge, experienced investors, highly connected or simply highly motivated to diversify financial portfolios into the future.
Dealflow - Angel investors are nothing without companies worth investing in. And with a 3000 strong community of women founders in AwakenHub we have been working on dealflow now for a while.
Interested in start-ups but do not feel ready to invest yet? Interested in better understanding the risks involved? AwakenAngels offers a unique opportunity for aspiring early-stage investors who would like to start supporting innovative entrepreneurs but might not feel ready to invest and take the leap yet.
Who are angel investors?
Angel investors are private investors who back emerging entrepreneurial companies that are too small or too early in their development to attract the interest of venture firms. Business angels are an essential source of funding and support for companies and entrepreneurs who may lack guarantees or track records to access other sources of finance that might be available on the market. As important as the capital provided, angels also provide mentorship, knowledge and expertise: resources that new businesses need to grow and prosper.
What you should know before starting?
Angel investing can be highly rewarding financially and personally, but takes courage and commitment. It is risky. Around 70% of angel investments are written off. Just 9% of all investments made provide 80% of all financial returns. Understanding how to invest effectively and having a properly constructed investment strategy are essential. These take both training and practical experience to achieve.
There are many questions to ask yourself before starting your investment journey. How much time can you realistically spend on due diligence and negotiation? How do you guarantee a high-quality deal flow? How do you monitor and manage your portfolio? Some of these can be minimised howevery by being part of an angel syndicate.
Is there a way to try it out without committing capital?
Navigating these issues can be complicated especially when you are on your own. To provide support as you begin your angel investing journey, we have developed “AwakenAcademy” a training programme where novice and sophisticated angels can co-invest alongside each other. Aspiring early-stage investors actively take part in an enriching early-stage investment experience - with a strong education stream at its core - without actually investing! This provides the perfect environment to learn the ropes from seasoned investors, surrounded by a supportive community.
You will leave our programme with a robust understanding of angel investment and the process. You will develop skills in evaluating investment opportunities and in navigating the funding process - from the perspective of both an entrepreneur and an investor. You will also gain an opportunity to network with global investors and Ireland based women entrepreneurs. And that is not all. Each programme module focused on a specific topic, therefore you will also have access to deep domain expertise, knowledge sharing and exchanges of best practices in the space.
If you are interested in better understanding how you can play a role as a business angel, reach out to the team at hello@AwakenAngelsHQ.com to learn more.
