Becoming a business Angel via a programme like GC Angels, the Greater Manchester Combined Authority (GMCA) supported service linking syndicates of business angels, can be a great way to invest in the future of innovative high growth businesses and to widen your own business network.
To make the most of the time and the funds that you are investing we have gathered some expert tips and advice from our Angel team:
Invest in multiple deals: GC Angels brings syndicates of Angels together to invest so the individual financial commitment is smaller but the wider pot is significant. This enables new Angels in particular to spread their risk and learn more about the sectors that they are investing in.
Listen to the experts: all our syndicates have a lead Angel; someone who knows the sector that the start up is operating in very well. Being able to tap into their expertise and industry contacts will be invaluable both for that investment and potentially for future ones you may choose to work with.
Develop a strong network: investing can be a lonely business but getting into a network like Co where you can sound out ideas and access your co-investor’s expertise can be an important way to stay a step ahead.
Do your homework: our Co team at BFS work with our investors to do due diligence on all of the businesses seeking investment. Looking at all aspects of finance, legal, management and commercial issues will help to highlight any problems and to speed up the investment process.
Think about your exit: before you get into a business you need to be thinking about how and when you might exit it. This will be influenced by a number of factors including market changes, how many companies the angel is investing in but will usually be between five and seven years.