In this video, Jacqueline explains what informal investors, or Business Angels, can mean for you as an alternative way of financing your company. Business Angels are usually former entrepreneurs who invest equity in companies. They are often successful business people who enjoy investing some of their own money in other companies.
When can such a Business Angel be of interest to you? For example if the bank says 'no', thinks the risk is too great or if you are looking for more commitment from the financing side. In addition to money, a former entrepreneur also brings a lot of knowledge and experience. On average, a Business Angel invests between € 50.000 and € 250.000.
Why would a Business Angel want to invest in your company? Of course, the investor hopes for rapid growth and would like to experience it with you, but a bit of name recognition also plays a role. A Business Angel can be a great option to grow your business and bring in knowledge and experience that you otherwise don't have. Keep in mind that a Business Angel will receive a minority share in the company in exchange for his help and that you will therefore have a partner on board.
If you want more information about Business Angels, take a look at the website of Business Angels Networks Netherlands: www.bannederland.nl