Angel Investor
| An angel investor is a person who offers financial support to a startup firm in its early phases of growth. Angel investors typically invest their own personal funds, as opposed to investing funds from third-party sources. This type of investment is often seen as high risk, as startup companies are often unproven and may not have the track record or resources of established businesses. However, angel investors often believe in the potential of the startup and are willing to provide the necessary support to help the company grow. Angel investors typically provide funding at the seed stage, which is the earliest stage of a company's development. Seed-stage funding is typically used to cover the costs of developing the product or service, as well as for initial marketing and operational expenses. Angel investors may also provide funding at later stages of a company's development, such as when the company is seeking to expand its operations or enter new markets. Angel investors typically take a hands-on approach to their investments, offering advice and mentorship to the startup team. This type of support can be invaluable to a young company, helping them to navigate the challenges of early-stage growth. Angel investors typically seek to exit their investment within three to five years, either through a sale of the company or an initial public offering (IPO). If you're thinking of starting a company, or are in the early stages of developing your business, then angel investment may be something to consider. Angel investors can provide the financial support and mentorship that can help your business to grow and succeed. |
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