“The Importance of Angel Investing in Financing the Growth of Entrepreneurial Ventures”
| October 13, 2008 |  View for printing |
Investigation of the role of angel investing in financing private businesses in the United States is important.1 Many observers consider angel investments to be one of the key drivers behind the startup and the growth of new businesses,2 despite a paucity of information to confirm whether or not this is true. Unlike venture capital investments, angel investments are made by individual investors who do not make up a known population. Therefore, much of what is reported about angel investing comes from anecdotes and surveys of convenience samples, which are prone to biases and inaccuracies.
Moreover, research on this topic is plagued by definitional confusion, in which different investigators confound informal investors, friends and family who invest in start-ups, accredited and unaccredited angel investors, and individual and group investing; this confusion makes it difficult to compare findings across studies.
by Scott Shane
Full Story: http://www.sba.gov/advo/research/rs331tot.pdf 
No reader comments so far. Be the first to comment by clicking the button below.
Reprinted under the Fair Use doctrine of international copyright law. Full copyright retained by the original publication. In accordance with Title 17 U.S.C. Section 107, this material is distributed without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes.
