If you don`t have money to finance your business, you should consider all your possibilities. It doesn`t matter if you need 5000 or 100.000 euro (7200 or 145.000 $), a business angel may help you to start your business.
The business angel concept it`s similar with the capital – venture financing. In both cases, investors and entrepreneurs put their money together in order to get the business started.
Some people may have brilliant business ideas, but if they don`t have any money to start them with, it is no use, like Thomas Edison once said: “An idea is worthless unless you use it”. A business angel can help you to start the business. An “angel” is just like you, an entrepreneur, but one with a little more experience, and a little more successful businesses.
In order to get the “angel” on your side and become partners you will have to know your business very well, because if you don`t, he won`t invest in a person who is not sure what he is doing. Another thing in attracting the investor is that you will have to be completely honest with the numbers and the profits, because before he invests he will make a market research and eventually he will find out the truth. It has both good and bad sides of having an angel as your partner.
The good side is that he has a lot of experience and can help you with different things, and you will learn a lot from him. The bad thing is that he usually expects high profits, and doesn`t struggle as much as you to make the business work.
Where do you find the angels? I am looking at a RV Delivery service, we are already in business, but the vechicle is broke down and need repairs, have 17 years of experince.
"Angels" are people with money or who have succeded in business, you can search the internet for "angels" but they will ask for a percentage from your business (if you are willing to take this deal). And usually a business angel will exit the business after a couple of years and you will get your shares back
Or you can search your local comunity for people who are willing to invest their money in a good business.
Otherwise with the current crisis it makes more dificult for you to get financing.
Where are you from? to understand better the situation if i didn`t answered to the point and provide you with a better answer
I wish you good luck!!