Thanks to a tough job market and the emergence of angel investors who are willing to take the risk of funding in new businesses, more people are taking the plunge and becoming entrepreneurs.
So where do you meet investment angels? Simple – at our networking events.
However, one of the most frequent questions we are asked is – How does one pitch for business angel investment? After all the effort you put into creating a strong funding pitch, you really don’t want to be turned down by angels, do you? Therefore, it makes a lot of sense to do the following:
1. Do your research
- We simply cannot emphasize this enough! Before you even think of preparing a funding pitch, do adequate research about the market you propose to enter.
- What are the entry barriers? (eg., licensing, regulations, huge investment, etc)
- Similarly are there strong exit barriers that might discourage private investors or at least prepare them for it?
- Also create feasible solutions to the barriers so angels find the over proposition relatively hurdle-free and attractive.
2. Create a concrete business plan
- Your business plan has got to include sales forecasts, expected break-even point, likely profit margins and a clear exit strategy.
3. Actively seek out angels via Business Events
- Traditionally people looked for angel investors from within their networks. The world has changed though. One of the easiest ways to find a private investor who might inject much needed funds into your business, is angel networking events.
- As the name suggests these are events that are hosted by angel networking companies such as The Funding Angels, to bring together businesses and investors, providing an opportunity to make a funding pitch to select angels.
4. Make a winning pitch
- Present your business plans and ideas with confidence and clarity, and impress potential angels not just about the business idea itself but your capabilities as an entrepreneur too.
- Winning a pitch is not enough, do follow up with your angel investors and also those who displayed interest but perhaps did not want to invest at that point in time. You never know where you might find a mentor!
Are you looking for business angel investment?
Register yourself for our upcoming events in our Events section. if you’re looking for business angel investment opportunities in London,