An angel investor is an individual who invests their personal money in entrepreneurs and their startup companies. These people are often entrepreneurs themselves or have wealth from their family, winning the lottery, or other good investments.
Angel investors are often the main source of funds for entrepreneurial firms and their numbers have been increasing dramatically over the past few years. Many well know companies today such as Ford, Apple and Amazon.com were started by angel investors.
One of the most important aspects of business angels is matching the right entrepreneur business with the right angel investor. There are risks and benefits for both parties involved but by matching the right entrepreneur with the right investor many of the risks can be decreased while increasing the benefits each receives.
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