Have you considered becoming an angel investor?
If you are interested in supporting entrepreneurship, investing in your community, or supporting certain industries, consider angel investing.
Angels are accredited investors who use their own funds to invest in private businesses. Often times, angel investors are successful business people, working or retired executives, or individuals interested in supporting entrepreneurs and in making an impact on the economy in their area. In addition to providing funding, some angels provide mentorship and management advice to companies. Angel investors may invest on their own or as part of an organized angel group.
Investments can range in amount based on the needs of the business and the level of comfort for the individual investor. In New Hampshire this often translates to amounts in the range of $10,000 to $100,000. In return for the investment, the angel receives equity (shares or membership units) or a note (repayment of principal plus interest, or a note that can be converted to equity).
Current regulations require the investor to be accredited. Accreditation is self-monitored. Individuals and married couples with over $1million in net assets (not including the primary home) are considered accredited under current rules. Assets include pensions, trust assets, real estate, investments, and other items of value. Alternately, if an individual has an income of $200,000 per year ($300,000 as a couple) he/she is also accredited.
In New Hampshire most angel groups do not have a fund. There are no minimums to join and there is no minimum amount required annually or over time for investment. Members are encouraged to invest as they choose and as they have interest in specific companies.
Some of the advantages of participating in angel groups include: the investments that present themselves are numerous and varied, the member gains information from the other members of the group, and the member can combine smaller amounts of investment with other investors. There are many other advantages to joining an angel group, and these will be discussed at the Angel Investing in the Granite State conference.
Interested in learning more about opportunities involved with angel investing?
Join us for the Angel Investing in the Granite State Conference on November 17th at UNH Manchester.