Angel financing is a way for many entrepreneurs to obtain funds. The common problem faced by many start-ups is insufficient funds. It can be said that in the early stage of any project, the investment is basically higher than the income. It is precisely because of this situation that the available funds of start-ups are becoming less and less. If the capital chain is broken, no matter how promising the industry is, the company has the risk of bankruptcy, The existence of angel investment can use the funds in hand to revive some dying but promising start-ups.

Angel investment refers to personal investment to assist entrepreneurs with special technology or unique concepts but lack of their own funds to start a business, and to bear the high risks in entrepreneurship and enjoy the high returns after successful entrepreneurship. Angel investment is a special form of venture capital. Angel financing has the following characteristics:

1. Angel investment is a kind of equity investment with high risk and high return.

2. "Angels" have short-term behavior in dealing with investment projects. They use their own funds to invest. They have high expectations for investment returns. They have little tolerance for losses and are short-sighted.

3. Angel investment is generally made by individuals and belongs to individual or small business activities, so the amount is generally small, and only the "first round" of small investment is generally provided. "Angels" only use their savings, which is not enough to support the large-scale capital needs, so those entrepreneurial plans in the initial stage of development can be favored by them.

four 、 The financing procedure of angel investment is simple and fast. because “ angel ” They only invest on their own behalf. The investment behavior is accidental and random. There is no complicated and tedious investment decision-making process. Investment decision-making is mainly based on investment in people, so investment decision-making is very fast.

5. Angel investment often has strong emotional color. The process of entrepreneurs persuading "angels" often requires a certain emotional foundation. Most of the entrepreneurs and "angels" are like-minded relatives and friends, or introductions from acquaintances.

Second Brother Remind everyone who has not set foot on the road of entrepreneurship, entrepreneurship is risky, and you should be cautious when entering the industry. If you must enter the industry, you should first register a company. The common problem in registering a company is 。