Angel investors - how much should I give you away?

3 replies
Will a so called angel investor be willing to invest in websites? I am not sure how many of you are aware of a British TV programme called 'Dragons Den', in which people with startups or existing businesses go on TV to pitch for investments from four investors, in return for agreeing to give away x percentage of their business for the investment. I am sure there is by now a US version of the show. A similar approach happens with angel investing.

I have a website that, by most people's standards, would be considered more than decent. The site has earned $45k over the last 6 years (90% of it profit) and that too despite a signficant lull in earnings because of rather long period of neglect due to poor health (between 2013 and 2016). However, now that I have recovered fully, I am highly confident the site will get back earnings to former levels, and far beyond.

There is a website in the UK (its open to overseas investors as well) who get investors and investment seekers together. I need investment to grow the site. Doing this by myself I can only do so much and I need quality writer with actual background in the subject area, to come on board. I may also use some of the funds for advertising purposes. These require money. The site's earnings are starting to go up but I need some funds right now because I have some really unique plans which I can only execute with some funding.

I have two questions:

1) Will these type of investors invest in a website?

2) How much should I give away for 20%. I have no real yardstick to judge by as to how much I should seek in giving away 20%. I may undersell myself here.
#angel #give #investors
Avatar of Unregistered
  • Profile picture of the author JohnVianny
    If you dont say what is the website where you can find these investors, i mean u mentioned a sort of marketplace for crowdfunding, like Kickstarter, how can we know if it's ok?

    Despite this, think that some project in kickstarter have raised a lot of money even if they have nosense, due to the copy and advertising.

    So you have to post your project, build a fan page, build a sequence of youtube videos where you explain it, and then promote with with some bucks.

    So you can see in REAL if your website will gain some money from investor or not, all the others are opinions.

    Try to ask the mail of people interested in your product, so you can follow up them with updates etc, and convince them to fund you.
    {{ DiscussionBoard.errors[11196416].message }}
  • Profile picture of the author Kay King
    There is a website in the UK (its open to overseas investors as well) who get investors and investment seekers together. I need investment to grow the site.
    Seems like that's where you should ask the questions. Don't worry about underselling yourself - the time to negotiate is when you have an offer.

    You are 'confident' the site will get back to former earnings - focus on how you will convince investors of that.
    Signature
    Every child needs a pet because every family needs an optimist

    Saving one dog will not save the world....but will forever change the world for one dog.
    {{ DiscussionBoard.errors[11196447].message }}
  • Profile picture of the author AceOfShirts
    Originally Posted by drop box View Post

    I am sure there is by now a US version of the show. A similar approach happens with angel investing.
    Yep, ours is called Shark Tank. It also has Kevin O'Leary and Robert Herjavec, both from Dragon's Den.
    {{ DiscussionBoard.errors[11201572].message }}
Avatar of Unregistered

Trending Topics