Business angels are wealthy, private investors, who provide capital for young companies at the start-up phase or during a level of expansion. Unlike venture capitalists - whose money is often pooled by investment firms - business angels usually invest their own funds.
Business angels are not only valuable for their financial contributions, but also for offering their expertise and in many cases, contacts to their invested company. Many business angels have had success as an entrepreneur or in executive positions at well-established companies or corporations.
While some business angels act as mentors and choose to invest in start-ups either in their chosen field, or based on new technologies in that field, many are simply looking for innovative, viable business ideas. Business angels work with entrepreneurs and companies in various industries - from the Web to real estate to the arts - and usually don’t have a prior history with the company that they are investing in.
The primary goals of business angels involve seeing their invested companies succeed and doing what it takes to ensure that success. Instead of seeking ownership in the company, business angels are more concerned with using their expertise to help make and manage day-to-day business decisions.
The Angel Investment Network bridges the gap between business angels and entrepreneurs with a network of sites in over 30 countries. Members can get in touch with business angels who are looking to connect with Sri Lankan entrepreneurs in a wide range of industries.