• When working in groups, angels tend to invest more wisely and more often. Deals tend to get done if there is a lead angel who is conducting due diligence. The lead will often inspire and motivate the other investors towards a closing. They know how to “herd the cats”.

• If a deal has been led by an acknowledged and experienced angel and that individual takes a position on the board of directors, this raises the comfort level of other investors, and some angels will invest outside of their area (long distance). This same situation applies to angels who do not have experience in the entrepreneurs' field (technical, medical, life sciences or service organization, etc.). When a recognized investor is involved, other angels will join the deal.

• It is more efficient for an entrepreneur to present his/her deal to a group of angels rather than try to find them and enlist them one at a time.

• Angels like deals that are well prepared and where the presenter makes a clear cohesive pitch. Make sure you present an easy to understand value proposition for the business and a clear value proposition for the investor.

• Angels invest mostly in the early stage or series A round. Many angels will only invest in the round if the amount being raised will take the company to cash flow break even. Angels are normally very busy people. If an angel champions your deal, you may get referrals to other individual angels, other forums of angels or other institutions of equity lending.

• Most professional angels will not invest in a service company or family business. If they do they are likely to be friends or family.

• Your attitude is very important. You are raising money for your business venture. We understand that this is an exciting time for any entrepreneur. If you are an exciting personality, then present your deal yourself. If you are not, then either find a coach or ask a colleague (marketing type) to pitch the deal when presenting at an angel forum. The founder/entrepreneur should always be present and be ready to answer any questions.

 Are Angel Investors suitable as investors in my company?

• Many angel investors are cashed out CEO’s and/or successful entrepreneurs.

• Most angel investors are in the age range of 45 – 60 and bring considerable experience and many contacts to die for.

• Angel groups have tremendous diversity and therefore there will be a lot of domain expertise available.

• Angels make their own decisions – it’s their money (unlike VCs who are professional money managers).

• Being experienced entrepreneurs/executives themselves, angels know the business plan will be constantly modified (been there, done that). They therefore understand business problems and can help/advise when adversity appears.

• Most angels are motivated by helping the next generation of entrepreneurs – it’s in the blood!

• The majority of angels typically invest $50,000 to $100,000 per deal with some investing as much as $250,000.

• Most angels like to get into deals of a size between $500,000 to $1.5 million to take them to the next step of valuation or positive cash flow.

• Investment by Angel investors brings credibility and access to networks, especially if they are on the Board of Directors or Board of Advisors.

• Angels come in after “Friends and Family”.