Angel Investors as Startup Enablers in the Developing World
January 2, 2013 Editor 0
A normative definition that I use as a recovering angel investor myself is that an angel investor actively helps a seed stage startup succeed with both mentorship and capital in exchange for those intangible benefits of mentorship and a return on investment. In World Bank parlance, then, they automatically provide both investments and technical assistance with no agency costs; a great recipe for solving multiple problems (funding capacity, entrepreneurial capability and access to early stage finance) in a cost effective way. Knowing that 318,480 of them invested $22.5 billion on 66,230 ventures in the US and achieved 27% annual returns forms the basis of our hypothesis that angel investing could work well in the developing world.
- Angel or Devil: Who’s Really Investing In Your Start-Up?
- Low-cost scanner could provide ultrasound in developing world
- Can Crowdfunding Work for Developing World Projects?
- Why is Human-Centered Design Important to ICT4D?
- Innovation Africa: enriching farmers’ livelihoods
- A New ‘How-To’ Guide for Creating Angel Investor Groups for Emerging and Frontier Markets
Categories: World Bank PSD
Subscribe to our stories
- Can Africa’s tech start-up scene rise to the next level? November 20, 2017
- Chocolate innovation: Sweet tooth hackers solve cocoa farmers’ challenges November 20, 2017
- A new generation of CEOs: Running a business in West Africa as a woman November 20, 2017
- Is crowdfunding the silver bullet to expanding innovation in the developing world? November 20, 2017
- Towards building an Entrepreneurship Ecosystem- Global Entrepreneurship Week and Freetown Pitch Night-The Role and Significance of the Freetown Pitch Night November 20, 2017