By Guest Blogger Karen Behune Plunkett
The definition of an Angel Investor is one who provides financial backing for small start-ups or entrepreneurs. Angel capital typically fills the most common gap in start-ups or entrepreneurial financing between “friends and families”, who have provided seed funding, and that of formal venture capital. This, while recognizing that despite the universal push for entrepreneurial outcomes to create jobs, rarely is traditional funding available.
Angel investment is a common second round of financing for high-growth start-ups and while there is no “set amount” for Angel investors, the range can go anywhere from a few thousand, to a few millions. A typical Angel investor is often a retired entrepreneur or executive, who may be interested in angel investing for reasons that go beyond pure monetary return. These include wanting to keep abreast of current business developments and trends, mentoring another generation of entrepreneurs and frankly sharing what they have learned through valuable experiences. Angels are essential in the screening of companies, due diligence and mentoring for success. A very rewarding financial outcome for both parties.
Over the past few years there have been an emergence of Angel Networks to address this traditional funding shortfall as well as providing exciting investment opportunities. Windsor –Essex is now a chapter of the National Angel Capital Organization (NACO) with the creation of Windsor Essex Capital Angel Network (WECAN). Having recently been funded by FEDDEV in the amount of $225,000 over a three year period, Dr. Omer Hageniers, Chair of the Board of Directors of WECAN is pleased to announce that a seasoned Executive Director in Mr. Colin Mckillop has been engaged to review and access both Angel investors as well as the most exciting companies available for investment.
Great news for our entrepreneurial region!
For contact information:
WECAN Board of Directors
Karen Behune Plunkett is Principal at PinPoint Strategic Direction, an advisory and strategic consulting firm, encouraging entrepreneurs, businesses and organizations to effectively identify goals and priorities. www.pinpointsd.com