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You Can Still Find an Angel Investor

There will always be angel investors, in good times and bad.
April 10, 2009

I can't read any more articles about how angel investors are supposedly abandoning entrepreneurs during this recession. In my view, it's neither true nor what I have observed, despite the media hype. There will always be angel investors, and there will always be entrepreneurs--in good times and bad. The main difference is that it takes much longer to raise money in recessionary times. Entrepreneurs have to deal with rejection more often and expand their pipeline of investor leads. Here are three keys to finding your own angel.

In 2007, angel investors were interested in hearing a pitch about revenue growth, and the decision to invest involved some amount of fear of losing the opportunity. In 2009, angel investors want to hear you tell them about earnings growth, and the decision to invest is based on how much affinity they have for the business concept and the principal owners. But no matter the year, the goal of your first meeting with an investor is to get a second meeting. Resilience, persistence and patience will ensure you get enough first meetings and second meetings to meet your fundraising goals.