For the longest time angel investors have been responsible for funding over 30,000 small businesses each and every year. It may come as a surprise to you but the total investment dollars coming from angel investors compared to venture capitalists is overwhelming to say the least.

While angel investors account for $20 billion to $50 billion of investment capital the venture capital community only accounts for $3 to $5 billion according to the SBA.

With over 250,000 active angels in the U.S. it can seem like an impossible task to connect with the right investors who are actively seeking to invest in a business like yours. There are also other factors that play a role such as location and investment size.

Angel investor networks may just be the answer you’ve been looking for. It’s one of my favorite solutions for business owners simply from the fact that you have the ability to connect with angel investors who are actively involved and searching for their next investment deal. In addition, investors in these networks tend to pool their funds together in order to make larger investments in businesses.

Companies like GoBig Network provide business owners the opportunity to submit a funding request where angel investors can view your post and decide whether they may have an interest in your deal.

You also have the ability to locate the investors that interest you by browsing through the member pages. You can initiate contact right from within the GoBig platform making the process simple and less time intensive.

Another aspect that I like is the ability to have your request posting emailed out to relevant investors on a daily or weekly basis depending on the preferences set by the investor.

Some other helpful tips to attract angel investors into your business are:

Prepare a solid business plan

A sign of no plan is a sign of no business. Take the time to craft a well written business plan because it can speak volumes on how you plan to succeed in your new venture.

Prepare a detailed funding request

The more precise and thorough you are with the amount needed and how the funds will be utilized the better the proposal will be in the eyes of an angel investor.

Find an angel who gets your type of business

Most angel investors focus on helping businesses they once owned themselves.

Angel investor networks can make the process of finding an angel investor and obtaining the funds you need to start your business that much easier.

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