Countrywide and Regional U.K Investment Groups for Angels
Overview of the U.K angel investment market
The U.K angel investment market is thriving, with over £1.5 billion invested in businesses in 2016.
There are a number of different angel investment groups and networks across the country, catering to investors of all sizes and investment levels.
Countrywide angel investment networks
There are a number of country-wide angel investment networks in the U.K, including the British Business Angels Association (BBAA), Angel Investor Networks (AIN), and the Enterprise Investment Scheme (EIS) Investor Network.
These networks offer members access to a wide range of deals and opportunities, as well as resources and support from experienced angel investors.
Regional angel investment networks
There are also a number of regional angel investment networks, which cater to investors in specific parts of the country.
These networks typically have a more local focus, and offer members access to deals, resources, and support specific to their region.
Some of the most notable regional angel investment networks include:
- The North West Angel Investor Network
- The Scottish Investment Network
- The South West Angel Investor Network
- The Midlands Angel Investor Network
Types of angels
There are a number of different types of angels, who invest in businesses for different reasons.
The most common types of angels include:
- Business angels: individuals who invest their own money in businesses in return for a share in the company
- Venture capitalists: individuals or firms who invest money in businesses in return for a share in the company, as well as a seat on the board of directors
- Crowdfunding investors: individuals who invest money in businesses through online crowdfunding platforms
Investment process
The investment process typically begins with a business pitching its idea to an angel investor group or network.
If the group or network is interested, they will then conduct due diligence on the business and its founders.
If everything looks good, the group or network will invest money in the business in return for a share in the company.
Typical deals and valuations
Angels typically invest between £10,000 and £250,000 in businesses, and deals are typically worth between £500,000 and £5 million.
However, there is no set range for deals and valuations, and they can vary significantly depending on the business and its stage of development.
How to get involved in angel investing
If you're interested in becoming an angel investor, there are a number of things you can do to get involved.
The best place to start is by joining an angel investor group or network, which will give you access to a wide range of deals and opportunities.
You can also attend events hosted by angel investor groups and networks, which will give you the opportunity to meet with other investors and learn more about angel investing.
Angel syndicates
Angel syndicates are groups of angels who pool their money together to invest in businesses.
This allows investors with limited funds to participate in deals that would otherwise be out of their reach.
Syndicates typically have a minimum investment amount, which can range from £1,000 to £10,000.
Angel investing in startups
Angel investing is also becoming increasingly popular among startup companies. This is because startup companies offer high potential returns but also carry higher risks than more established businesses.
Angel investors typically invest between £10,000 and £50,000 in startup companies, and expect to see a return on their investment within 3-5 years.
Exit strategies for angels
When an angel investor invests in a business, they typically expect to see a return on their investment within 3-5 years. Once the business has reached a certain stage of development, the angel investor will then exit their position by selling their shares back to the company or to another investor.