This Article is About
angel investors
private equity firm
Venture Capital Databases For Startup Funding
Join 1000's of Authors at StreetArticles Today!

As an entrepreneur and angel investor for over 15 years who has raised both angel money and VC money, and who's sold a company to a private equity firm, I often am asked what are the best resources on the web for finding venture capital funding, whether it's from angels or VC firms.

First, my advice for early stage companies is to approach angel investors first (or Angel Investor Groups) until you have demonstrated "market validation" by first creating a sample or prototype. This sample or prototype is a representative product that contains the minimal and most vital features that show prospective customers and users what's different about your product, and better than what is currently available in the marketplace.

Gain users first, and do this before you being to contact or meet with VCs. If you contact VC firms too early, these firms frequently will not provide you with another opportunity if you approach them too soon. If you wait until you have market validation, when you do contact or meet venture capital firms, you'll be prepared and taken more seriously with angel backing and with the first users and/or paying customers lined up. In addition, your business startup will receive more favorable deal terms if and when you do decide to accept venture capital firm investment funding.

Useful angel resources in my recommendation are: PrivCo and Angel List. (PrivCo is free and includes Angel Investor groups, which are frankly preferable leads than individual angels. Angel List is primarily provides listings of individual angel investors who list themselves on the site, but Angel List then charges you as the entrepreneur to contact the listed angel investors directly). Angel Investment Group investments are often preferable than individual persons for a variety of reasons:

1. As part of an Angel Investment Group, investors pool their money together to make an investment so, say, a $500,000 investment might be made with 5 members of the angel group investment $50,000 per person. This is an easier hurdle than trying to convince one wealthy angel investor to come up with half a million dollars. Angel Investor Groups will usually hold live presentations from time to time. They will also distribute new investment business plans to their members via email monthly etc. Interested investors in the Group can then contact you directly, or they will pool their money to formally make an investment from the group's fund.

2. Angel Investment Groups far more efficient and less time-consuming than approaching one investor at a time and explaining your business pitch on angel investor at a time.

3. The validity and approval from say "Harvard Business School Club Angels" is a better endorsement for future venture capital investors than "we are backed by Sarah MacIntyre and Bill Harrison." Just do a PrivCo Private Investors Search, and select investor type "Angel Investor Groups"

For venture capital firms, the National Venture Capital Association (NVCA) has several hundreds member firms who generally represent the very largest and most active venture capital firms.. The National Venture Capital Association maintains a member database, though you must be a member to access. Venture Capital Directories like Pratt's Guide are also for sale, usually costing several hundred dollars each. But again free databases of venture capital firms can be found, as well as angel investors, startup incubators, and angel investor groups remains private company financial data platform PrivCo. As of the date of this article, PrivCo maintains a searchable database of over 6,000 venture capital firms, business incubators, angel investors, and angel investor groups / angel capital associations, using PrivCo Private Investors Search

Good luck to entrepreneurs looking to startup or expansion venture capital funding sources.

Sam Hamadeh, J.D., M.B.A. Serial Entrepreneur and Angel Investor New York, New York


Street Talk

Sam, I appreciate your information and style of writing. It flowed well.

Reply
  about 4 years ago
You May Also Like
Forex Trading Hawe Chash
When considering investing for the first time, you may have run into several different types of ways of gaining profits, each with their own advantages and disadvantages. While Forex may be the lesser known type of investing, it is seemingly the one with the most advantages. Forex investing is the…
By: Book Mark in  Business  >  Venture Capital   Feb 26, 2016  
0
  Likes: 0

Beneficial Facts About Marijuana That Ought to Be Learned When Opening A Dispensary
Several decades ago, medical marijuana had been already used medically by our forebears. Today, its utilization has been upgraded and is used for the management of severe medical ailments. Examples are the chronic painful sensations, cancer, and more. Despite having all of these medical advantages that are received from pot,…
By: Dash Thomas in  Business  >  Venture Capital   Feb 04, 2015  
0
  Likes: 0

Questions to Answer When Determining If You Are the Right Person to Lead A Private Equity Buyout
Once you have a company that has agreed to do a deal with you and a private equity company, you still have to sell you and your leadership team to the private equity investors before they will agree. Venture capital money is not likely to go where there is any…
By: James Pullman in  Business  >  Venture Capital   Aug 29, 2011  
1
  Likes: 2

Commercial Lending
Is your commercial note coming due? As commercial mortgages expire some property owners are discovering their bank will not rewrite the loan upon maturity. This may have less to do with the client and their ability to pay the mortgage, then the bank itself. New federal regulations have placed excessive…
By: Michael Dudek in  Business  >  Venture Capital   Oct 01, 2014  
0
  Likes: 0

The Top Three Points to Keep Away From When Opening A Dispensary
Discrepancies will have to be decreased when opening a dispensary. The more amount of failures that you commit, the greater number of damages that you may most likely face in your business venture. This means that, substantially less cash for you. For that reason, a dispensary entrepreneur have to always…
By: Dash Thomas in  Business  >  Venture Capital   Dec 18, 2014  
0
  Likes: 0

Selling You, the Private Equity Advisor, to A Venture Capital Firm
Once you have a company that has agreed to sell or partner with private equity and venture capital money, it is your job as a private equity advisor to sell your leadership to private equity investors. I have over 20 years of successful experience as a senior leader and entrepreneur.…
By: James Pullman in  Business  >  Venture Capital   Aug 29, 2011  
1
  Likes: 1

Capital Raising Tips
Raising money for your business, whether start-up, turn around or a real estate project, will go far more smoothly if you follow this advice: Plan, plan and then plan. Writing a cogent, executable business plan will put you miles in front of the millions of other great ideas that are…
By: allison barber in  Business  >  Venture Capital   May 05, 2011  
0
  Likes: 0

Is Your Business Specialist A Helpful One In Opening A Dispensary
In various regions in America alone where the de-criminalization of medicinal marijuana has been agreed upon, clients plus weed business firms are boosting in figure. If you are looking to start a cannabis shop, the initial stuff that you will want to regard is which location should you like to…
By: Dash Thomas in  Business  >  Venture Capital   Feb 03, 2015  
0
  Likes: 0

How to Open A Dispensary Advice: Understand What the Government Systems Say
You cannot find any better opportunity to build a dispensary than today particularly that the de-criminalization of cannabis has been recognized in several states. Before anything else, you must realize how to start a dispensary, how to develop an effective business plan, how to get a business permit, the qualifications…
By: Dash Thomas in  Business  >  Venture Capital   Jan 28, 2015  
0
  Likes: 0

What A Businessman Must Implement In Order to End Up Being An Excellent Cannabis Dispensary Proprietor
Quite a few marketers are targeting the marijuana trade on the grounds that some regions have enacted already the law on medical marijuana legalization. There are a lot of approaches on how executives may produce bucks via this trade. They may grow and maintain medical cannabis and also be a…
By: Dash Thomas in  Business  >  Venture Capital   Jan 23, 2015  
0
  Likes: 0

What A Businessman Needs to Conduct to A Productive Medical Marijuana Dispensary Entrepreneur
Many enterprisers are spotting the weed marketplace considering that various states in america have enacted already the bill on medical cannabis legalization. There are various means on how businessmen are able to acquire dollars from this specific marketplace. They may grow and maintain medical cannabis and also be a distributor,…
By: Dash Thomas in  Business  >  Venture Capital   Jan 15, 2015  
0
  Likes: 0

Emad A Zikry - Implications Of Recent Money Market Fund Reform Passage
The 2008 financial crisis raised serious questions regarding the health, security and viability of the money market mutual fund industry” stated Emad A. Zikry, Chief Executive Officer of Vanderbilt Avenue Asset Management and Member of EO Clubs International, CEO Briefs, Economic Club of New York, Fixed Income Analysts Society, National…
By: emadazikry in  Business  >  Venture Capital   Nov 13, 2014  
0
  Likes: 1

How to Outline A List Of Value Creation Opportunities As A Private Equity Advisor
Once you have a list of potential target companies as a private equity advisor you must begin to outline potential opportunities for improving the value of the target company. I have over 20 years of experience as a successful senior leader and entrepreneur and I believe that for a private…
By: James Pullman in  Business  >  Venture Capital   Aug 29, 2011  
1
  Likes: 1

Advice In Opening A Dispensary: Very Good Venue And Comply With With the Rules
The legalization of grass in numerous countries in the US began a different variation of business venture: medical cannabis dispensaries. You must think of opening a dispensary if you’re thinking to open a business. A dispensary venture is not very hassle-free, though not that demanding too. In a dispensary, you…
By: Dash Thomas in  Business  >  Venture Capital   Dec 20, 2014  
0
  Likes: 0

How to Open A Dispensary Hints: Find Out What the Government Bodies Think
There isn't really a better moment to set up a dispensary than today specifically that the legalization of marijuana is being agreed on in numerous cities. Before everything else, you should find out about how to start a dispensary, how to build a useful business plan, how to get a…
By: Dash Thomas in  Business  >  Venture Capital   Jan 21, 2015  
0
  Likes: 0

Article Views: 2224    Report this Article