Angel Investing Grows in 2006

Posted by on Jul 26 2007


According to an article from the National Dialogue on Entrepreneurship:

“Organized angel investors invested $25.6 billion in 2006—a 10.8% [increase] over 2005. Overall, 234,000 angels backed 51,000 different firms last year. Both deal numbers (up 3%) and average deal size (up 7.5%) grew, thus offering further indications of a healthy angel market.”

An angel investor is a wealthy individual who provides business capital for start-up or growth of a business, in return for a share of the equity of the business. Typically they’re looking for investments under $1 million. According to Wikipedia, “Of the 51,000 US companies that received angel funding in 2006, the average raise was about US$500,000.”

While angel investors often invest in companies with larger revenue possibilities than a typical self-employed person might earn, it’s worth considering angel investors as a source of capital, especially if you’re growing an existing business to a new level.

You can read more news about the angel investment markets here:

http://wsbe2.unh.edu/cvr-news

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2 comments for now

2 Responses to “Angel Investing Grows in 2006”

  1. Kree

    Thanks for the info. I did a lot of research into angel investors in the past and personally I dont think it’d the way to go for the little guy. They usually look to make their profits on controlling most of the shares in your business. I would say these guys are more geared to those who have “Big Ideas”. Just my two cents.

    http://littleguynetworkhomebusiness.blogspot.com

    13 Feb 2008 at 4:41 am

  2. online job posting

    sometimes we need angels for quite a good jump start…

    20 Mar 2008 at 11:10 am



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