The following is an actual exchange between an early stage business owner and ourselves. As such it is not totally Q&A, but does give a sense of what to expect of an Angel Investor in a more rounded context.
Angels invest time, experience and money but, since around 90% of start-ups fail. (21.5% in first year, 30% second year, 50% fifth year, and 70% in 10th year), are generally very risk averse.
I like the concept shown by your website –e.g. www.thisismywebsite.co.uk
How much and exactly how spent?
You need to provide:
ii)At what cost to (customer, intermediary, agency, etc.) ?
You should state:
Depending on the size anticipated for the business (T/O, GP and NP), as above.
You will need to set out marketing information specifying:
You need to include all of this in your figures and presentation.
You need to include all of this in your figures and presentatioa
I hope at least some of this is of help to you. If you’d like to let us have the information listed above we’ll be happy to revie this further for you FOC.
At a high level, all “private equity” firms raise outside capital from Limited Partners (LPs) such as pension funds, endowments, sovereign wealth funds, and high-net-worth individuals. They then use that capital to acquire assets or companies, grow them over time, and eventually sell them to realize a return on investment.
However, the investment strategies used by these firms differ widely.
Some focus on large companies; some focus on smaller, high-growth firms; some focus on lending (i.e., investing in debt rather than equity); and still others focus on infrastructure or real estate assets rather than companies.