Crowdinvesting has been identified as one of the top investing/tech trends for 2014 by Entrepreneur, Inc., Forbes, CNBC, and more. Therefore, we created this investing infographic for those who are considering becoming an angel investor.
Although we encourage and want everyone to have the opportunity to make a difference to an aspiring entrepreneur, we here at Return on Change know that investing in startups is not for everyone. There is no, one logically way to think about making early stage investments, but we’ve tried to lay out the basics for which we believe smart investment choices should be made by angel investors. However, always remember that all potential investors are subject to different constraints, and it’s CRUCIAL for you to understand your financial situation before considering any type of investments!
There are of course pros and cons to angel investing. Some cons may include: very risky business which could lead to liquidity, lack of dividend, and loss of investment. But on the flip side, some pros for angel investing may include: adding jobs, fulfilling dreams and making a positive return on your investment (U.S. angel investors experience an average 260% return in 2.5 years).
Throughout the infographic you’ll find tips for angel investors on conducting due diligence, the risks and rewards of angel investors, and some questions to consider when evaluating a startup/entrepreneur.
We’d love to hear what you think!
As always, RoC is here to help you clarify any questions you may have.