DemetrisWhitehead131
If you are an emerging company with the next great item, often you require an angel on your side. A study by the University of New Hampshire's Center for Venture Analysis showed that "angel investors" - high-net-worth folks willing to invest in entrepreneurial firms at an early stage - shelled out much more than $18 billion into early-stage companies last year alone, compared to $304 million by venture capitalists. Locating an angel investor, however, is not an easy task. Safer Smokes Inc. is one organization that understands the challenge of attracting the right investors. This development-stage organization is tapping the smoking cessation marketplace with a unique tobacco-free of charge, nicotine-totally free smoke called Bravo, which has the look of a conventional cigarette and burns like tobacco, but is truly produced from lettuce fibers. "Bravo lets you smoke your way out of the tobacco habit steadily," mentioned Puzant C. Torigian, chief executive officer of Safer Smokes. For companies like Safer Smokes, it may possibly be too soon to method big venture capital firms, yet time to move beyond networking with family and pals. Angel investors to the rescue. "The challenge for raising capital in today's market is in harnessing the courage and vision of the angel to see by way of to the actual investment chance," said Torigian. So how do firms like Safer Smokes attract their angel?
- Have a clear-cut target market place for your product or service. For example, Safer Smokes is targeting the smoking cessation market place, which has sales approaching $10 billion per year, up from $6 billion just 3 years ago.
Most angel investors favor organizations that are likely to show positive cash flow inside their very first 18 months, so getting these kinds of statistics about your market can be an incentive.
- Match the enterprise strategy objectives to the angel's risk tolerance. Investors want to know the item or service will be unique and properly-cultivated. Safer Smokes has a patented remedy that firm officials say will "have an effect on the landscape of the wellness care sector." idea angels
