ANGEL INVESTORS play a critical role in financing one of the hardest rounds — the first one (Seed round). In the US, most VCs are not active in Seed rounds, while in Europe they are much more active in this space. Two key considerations in Angel deals are board seats and valuation. If the Angel has no sector experience, they do not typically add value on the board. secondly, if possible, avoid valuation-tied deals, and instead offer a discount against the next Series A round. Angel-set valuations can be big problems for Series A rounds if they are set significantly too high or too low.
http://lnkd.in/mX9PM3
linkedin post 2022-06-29 05:12:48
Nigel Fleming
September 21, 2022