In my last post, I described the trend among angel groups in the US to fund more angel-only deals, primarily because of the changing world of US venture capital. I did so without really describing the characteristics of angel-only deals.
Perhaps I should start by describing angel deals. Oh…I did that in the January 6th New Zealand Herald. See What Start-ups Need to Know to Speak the Language of Angels.
Angel-only deals are startups that can achieve positive cash flow and grow organically using capital raised from angels without any follow-on venture capital investment. Since angels rarely invest more than $1 to $1.5 million in total in any deal, these are startup ventures that can achieve positive cash flow with less than, say $2 million, and usually less than $1 million in equity investment.
To read the full, original article click on this link: Bill Payne's Blog - Just What Are Angel-only Deals?