What’s the difference. Is Angel investor strictly a first in money provider and venture capitalist a money provider that uses expertise to help get the idea up and running?
Yep. Angel investors are basically the first guys in, right after friends and family. They get the ball moving, before the idea is solid enough for VC’s.
Spot on! Angel investors typically invest in seed and early stage companies. VC investors typically invest in early stage companies. Angel investors do not provide managerial/strategic support. VC investors may or may not provide managerial/strategic support (i.e. what you referred to as expertise to help get the idea up and running).
No McLeod, Angels do not get the ball moving. They only provide capital and sit back and wait for their capital to be returned (typically several years later if ever). They do not contribute to the business idea or strategy.
pauljbarr Wrote: ------------------------------------------------------- > No McLeod, Angels do not get the ball moving. They > only provide capital and sit back and wait for > their capital to be returned (typically several > years later if ever). They do not contribute to > the business idea or strategy. By “get the ball rolling” I meant providing funding needed to do so, not contributing to the processes.
Many thanks guys. I like it when I’m proven correct. My notes were horrendous on this subject.