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How Much Ownership do Angels Require?

June 1, 2010 /

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A frequent question from entrepreneurs is “how much ownership do angels expect to purchase with their investment in my start-up venture?”

First, a reminder: Angels are investors, not bankers. So, in most cases angels purchase equity in new ventures, and are not lending funds to entrepreneurs, in anticipation that the debt will be repaid over time. We angels typically expect to sell our ownership in start-up businesses in the same transaction and at the same time that entrepreneurs sell the company.

by: Bill Payne

Full Story: http://www.theicehouse.co.nz/Internal/InternalBlogs/AngelsBlog/tabid/236/EntryId/104/How-Much-Ownership-do-Angels-Require.aspx