GallaherGerry953

If you're an emerging firm with the next fantastic item, at times you require an angel on your side. A study by the University of New Hampshire's Center for Venture Investigation showed that "angel investors" - high-net-worth individuals willing to invest in entrepreneurial businesses at an early stage - shelled out a lot more than $18 billion into early-stage organizations final year alone, compared to $304 million by venture capitalists. Finding an angel investor, however, is not an easy task. Safer Smokes Inc. is a single firm that understands the challenge of attracting the appropriate investors. This improvement-stage company is tapping the smoking cessation market place with a distinctive tobacco-free, nicotine-free smoke referred to as Bravo, which has the look of a traditional cigarette and burns like tobacco, but is actually produced from lettuce fibers. "Bravo lets you smoke your way out of the tobacco habit steadily," mentioned Puzant C. Torigian, chief executive officer of Safer Smokes. For firms like Safer Smokes, it may be too soon to method big venture capital firms, yet time to move beyond networking with family and close friends. Angel investors to the rescue. "The challenge for raising capital in today's marketplace is in harnessing the courage and vision of the angel to see via to the true investment opportunity," stated Torigian. So how do businesses like Safer Smokes attract their angel?

• Have a clear-cut target marketplace for your item or service. For example, Safer Smokes is targeting the smoking cessation industry, which has sales approaching $10 billion per year, up from $6 billion just 3 years ago.

Most angel investors prefer firms that are most likely to show positive cash flow within their initial 18 months, so getting these types of statistics about your market can be an incentive.

• Match the business plan objectives to the angel's risk tolerance. Investors want to know the product or service will be exclusive and well-cultivated. Safer Smokes has a patented resolution that organization officials say will "have an effect on the landscape of the wellness care business." ideangels