-
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.Related Posts
Can Crowdfunding Work for Developing World Projects?
Angel or Devil: Who’s Really Investing In Your Start-Up?
Why is Human-Centered Design Important to ICT4D?- Low-cost scanner could provide ultrasound in developing world
Innovation Africa: enriching farmers’ livelihoods
Culture – a Powerful Innovation Barrier
Technology Transfer in a Global Economy Global health: Lifting the burden
