What are the best ways to leverage angels for my business ?

What can angels bring to you ?

Angel investors are incredibly useful for founders. Not only are they often able to provide cash quickly and at very early stages, but they also offer a wealth of experience and connections.

In other words, it’s not just about getting an angel to commit to a deal. Founders should also strategise as to how they can make the most of their investors’ resources.

Every business angel is different in terms of what they can offer, how hands-on they want to be, and how much time they have. (Many angels have diverse portfolios and can make dozens of deals a year.)

Effective asks

Before asking for anything, founders should think about what they need. 

Be precise and transparent in your ask. An angel could:

• Make an introduction or a referral, for example. It’s a good idea to make the most of their networks.
• Provide feedback, on your product, process or your pitch.
• Teach you something about their own experience, in starting a company, in fundraising, or about a relevant industry / sector.

Of course, an angel may not be able to help you out or give what you need, every time. But there are two things you can do to ensure a ‘yes’ is more likely:

• Make the ask specific and concise to ensure that you are respectful of an angel’s time and expertise
• Keep angels in the loop with your progress and goals on a regular basis – it helps get everyone up to speed and makes angels feel more included

Think of it this way: you worked so hard to pitch and present your company to angels in return for cash. The same amount of effort should be applied to keeping the angel relationship warm, and to tap into the other opportunities they can provide. Relationships are built over time – normally, this process starts well before you ask an angel for cash – and can sustain a founder when he / she builds future companies.

In other words, how you present your business is equally important as how you present yourself and your communication style.

As Quentin Nickmans said, {{learn_quote_1}}

The relationship between a founder and an angel is symbiotic, and it should flow both ways for success.

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