Adapted from the Journal of the Heartland Angels
Part 1 – by John Jonelis
Is an Angel a fool?
In the world of private equity investing, the order of funding is supposed to go like this:
- Seed Round—that’s friends, family, and fools.
- Angel Round—that’s funding the big initial spurt of growth.
- Venture Round—that’s big funding for massive scaling.
Compare that stack-of-three (above) to a peanut butter and jelly sandwich. Notice that Angels make up the good stuff in the middle. And yes—according to studies by the Kauffman Foundation—Angels make the best money. Continue reading
