Practicing Success
They fill the gap in start-up or early stage financing between "friends and family", by providing seed funding and formal venture capital. Humorously, they were once given the acronym FFF – i.e. FRIENDS, FAMILY AND FOOLS. Which of the following is being referred to here? |
Venture Capitalist Bankers who give start up loans Angel Investors Any of the above |
Angel Investors |
The job of an angel investor is invaluable. They fill the gap in start-up or early stage financing between "friends and family", by providing seed funding and formal venture capital. Humorously, they were once given the acronym FFF – i.e. FRIENDS, FAMILY AND FOOLS. Although it is usually difficult to raise more than a few thousands from friends and family, even the venture capitalist are least interested to make investments. Thus, angel investments is a common second round of financing for high-growth start-ups or early stage companies. |