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by Robin Sharma
How The Best Angel Investors Make Money in Start-ups
Start-up Wealth by Josh Maher is a guide for entrepreneurs to manage their finances from start-up to acquisition. The book covers various strategies to build wealth, such as creating a budget, generating revenue, and structuring proper investments.
Before we examine what makes an angel investor successful, let’s first define the category. Angel investors – the wealthy individuals who financially support start-up companies – come in three types: momentum investors, value investors and alternative investors.
Momentum investors are characterized by a reliance on instinct and vision. In other words, their selection technique doesn’t involve much in the way of specifics or hard data. Rather, if a momentum investor feels a connection with or is somehow engaged by a company, he will offer his support.
Brad Feld, a managing director at Foundry Group, is a leading momentum investor and has a particular approach when evaluating his gut feeling about an entrepreneurial project, that we’ll explore in depth in the next blink.
Value investors invest in companies that come to the table with solid financials. David Verrill, founder and managing director at Hub Angels Investment Group, is a renowned value investor who takes the time to investigate a company’s revenue sheet before taking the plunge. He prefers to review company data from the last 12 to 24 months, which helps him determine whether a business idea will eventually take off.
Finally, alternative investors want to do more than make an investment; they want to send a message. Rather than investing in stocks or bonds, alternative investors focus efforts on a specific business area, such as health care, antiques or even wine, to create a significant impact.
Catherine Mott, the founder of the BlueTree Capital Group and the BlueTree Allied Angels, is a good example of an alternative investor. Her organizations assist entrepreneurs in building solid businesses, with a focus on private equity investments, to ensure local start-ups receive the necessary financial support.
Let’s now take a closer look at each angel investor category, starting with the momentum investor.
Start-up Wealth (2015) is your guide to better investing. From momentum investors to value investors and alternative investors, the range of angel investment strategies is broad. These blinks will help you better determine which of today’s start-ups are worth your time and cash.
Start-up Wealth (2022) is a valuable resource for aspiring entrepreneurs looking to navigate the realm of startups. Here's why this book is worth your time:
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Try Blinkist to get the key ideas from 7,500+ bestselling nonfiction titles and podcasts. Listen or read in just 15 minutes.
Get startedBlink 3 of 8 - The 5 AM Club
by Robin Sharma
What is the main message of Start-up Wealth?
The main message of Start-up Wealth is to take control of your financial future by starting your own business.
How long does it take to read Start-up Wealth?
The reading time for Start-up Wealth will vary based on your reading speed. However, the Blinkist summary can be read in just 15 minutes.
Is Start-up Wealth a good book? Is it worth reading?
Start-up Wealth is a valuable read for aspiring entrepreneurs looking to build wealth. It provides practical insights and advice for starting and growing a successful business.
Who is the author of Start-up Wealth?
The author of Start-up Wealth is Josh Maher.