What do angel investors care about?

The Team

Angel investors want to see a strong team with a track record of success in their industry. They want to see that the founders have the necessary skills and experience to execute on their business plan, and that they are passionate and committed to the venture. Additionally, angel investors want to see that the team has a good understanding of the market and the competitive landscape.

Market

Angels typically want to invest in startups that are addressing a large and growing market opportunity. They want to see that there is a real need for the product or service, and that the market is large enough to support significant growth. Angel investors will often look for evidence of market demand through customer surveys, interviews, or other market research.

Business Model

Angel investors want to see a clear path to revenue generation and profitability. They want to see that the business model is scalable and sustainable, and that there are multiple revenue streams to support growth. They will often ask about customer acquisition costs, customer lifetime value, and other metrics to gauge the potential success of the business model.

Competitive Landscape

Investors also want to see that the startup has a unique selling proposition that sets it apart from competitors. They want to see that the startup has a competitive advantage, such as proprietary technology, intellectual property, or exclusive partnerships. Angel investors will also assess the size and strength of the competitive landscape, looking for evidence that the startup can compete effectively in the market.

Potential for Scale

Angel investors want to know that the startup has the potential to scale quickly and efficiently. They want to see that the business can grow rapidly without being limited by resources or market saturation. Angel investors will look for evidence of scalability through the size of the target market, the efficiency of the business model, and the potential for repeat business.

Overall, angel investors are looking for startups that have a strong team, a large and growing market opportunity, a clear path to monetization and profitability, a unique competitive advantage, and the potential for rapid scalability.