Types of Angel Investors
1. Individual Angel Investors: These are private investors who put their own money into new businesses. Such people generally have previous experience as business owners or in a certain field. They have the option to make investments in startups that are related to their knowledge or interests.
2. Serial Entrepreneurs: A selected group of angel investors consists of experienced business owners who have previously established and sold their own enterprises. They may allocate financial resources to support early-stage ventures while also giving mentorship and insightful advice grounded in their personal experiences.
3. Venture Capitalists into Angel Investors: Angel investors are individuals who have departed from conventional venture capital firms after serving as venture capitalists. Individuals may exhibit a preference for the personalised attention and adaptability afforded by angel investing as opposed to the more regulated atmosphere traditional of venture capital firms.
4. Strategic Angels: They are a subset of angel investors who make investments with strategic objectives in addition to financial gain. A potential motivation for their investment could be an interest in the startup’s industry or technology, which would grant them access to innovative goods, technologies, or market intelligence.
5. Groups of Angel Investors: Collectives of individual angel investors, known as Angel Investor Organisations, syndicates, or angel networks, engage in joint ventures to identify and pursue investment opportunities. These collectives combine their resources, assume collaborative duties of due diligence, and might make joint investments in new companies. This methodology facilitates a diversified portfolio and shared knowledge.