Loans, Grants, and Equity Funding
GUIDE: LOANS, GRANTS AND EQUITY FUNDING > PART NINE
Missouri Angel Investment Groups
About Angel Investors
Angel investments are equity investments and money is invested in exchange for ownership in the company. Of the 500,000 start-ups each year, only 500 receive venture capital investments. The MAJOR source of equity for a new business comes from friends and family.
Ninety percent of the investment outside of friends and family comes from angel investors. Angels tend to invest smaller amounts and tend to invest in younger companies than do Venture Capital firms. Angels also tend to invest close to home and can be difficult to locate.
The desired investment profile for an Angel:
- A novel (new) or disruptive business concept
- A realistic business plan
- Technological superiority
- Realistic valuation
The Angel Resource Institute provides answers to questions about angel capital for entrepreneurs. Gust provides a listing of many angel groups across the country. You can also use the Angelsoft site to submit your business plan for review by several of the Missouri angel groups.
NOTE: The following Missouri groups primarily invest in early-stage technology and life sciences startups.
GUIDE: LOANS, GRANTS AND EQUITY FUNDING
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