In the startup ecosystem, angel investors are really ‘angels; in disguise which both help the boat stay afloat and keep the show going.
An angel investor is a private investor who is an individual bearing a high net worth and is in a position to provide financial backing to budding entrepreneurs and their respective startups. This is done by a mutual agreement from both parties. The angel investor decides to lend money in exchange for ownership equity in the startup. The purpose of angel investment is to help the business get off the ground with the initial one-time investment which can help support the company in its vulnerable early stages, till the time revenue is generated.
If you are an entrepreneur or someone running a business and planning to raise funds, this article will be highly useful to you as it covers the top nine angel investment networks to raise funds from. Read on:
1. Indian Angel Network
It started off first in April 2006 by Alok Mittal, and helps in terms of not just cash, but also in terms of high-quality mentorship and networking and teaches one a thing or two on strategy and execution.
They identify and invest in startups that have a scalable and viable business model and a strong and dedicated team. Indian Angel Network is known to have over 450 existing investors sprawled across 10 countries.
Sectors: IT/ITES, Telecom, Mobile VAS, Gaming and Animation, Internet / Web, Media & Entertainment, Education Technology, Healthcare, Manufacturing, Alternative Energy, Clean Technology, Cloud Computing, and Retail.
Key startups funded: FabAlley, PrettySecrets, WOW! Momo, Get My Parking, LawRato.com, Unbxd, WedMeGood, Box8, Styledotme, Process9, Find My Stay, Go Coop, SuperProfs and more
The average ticket size of the investment: USD 400K to 600K with a maximum of USD 1 million; exiting over a 3 to 5 year period through a strategic sale.
2. Venture Catalysts
This one is also one of the top angel investment networks and recognizes itself as India’s first Seed Investment & Innovation platform.
Founded in 2016 and located in Mumbai, it is not restricted to providing funds; rather, it offers other core facilities as well, including co-working spaces, the angel network and also post-investment support for boosting early age startups.
Sectors: Artificial Intelligence, Ad Tech, IoT, Education, E-Commerce and Retail
Key startups funded: SIFTR, vPhrase, ConfirmTkt, LenDen Club, Vahanalytics, Beardo, Innov8 and more.
The average ticket size of the investment: USD 100k – 500k for a very early-stage startup.
In their own words, LetsVenture helps startups looking to raise funds to become ‘investment -ready’ and helps connect them to accredited and authentic investors. They also give out expert advice and review the business plans of startups and connect them to mentors for guidance.
Once a startup closes an investor, i.e., gains a verbal commitment from them, LetsVenture helps them close the funding round process through their commitment-to-closure package. This package helps take care of the closure of the term sheet and the shareholder’s agreement, alongside providing complete legal and financial vigilance.
Sectors: Startup sectors on LetsVenture can be classified into 2 categories – Vertical and Horizontal. The former category covers domains like consulting, consumer internet, hyperlocal, online aggregator, research and Saas. While the latter includes parents categories like Advertising, Aerospace, Agriculture, Art and Photography, Career Counselling and more.
Key startups funded: Innov8, DailyNinja, Bobble App, Testbook, Ketto, Little Black Book, Wishberry, Porter and more.
The average ticket size of the investment: USD 34k – 250k for early-stage startups.
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4. Chennai Angels
This is also one of the top angel investment networks with a network of 94 angel investors.
Notably, Chennai Angels have been nurturing and mentoring new generation entrepreneurs since 2007.
In these years, they have invested nearly 50 crores in 37 startups including Ketto, BetOut, Cloudcherry Analytics and more.
Sectors: Education, E-Commerce, Information Technology
Key startups funded: Schoolmate.in, Travelling Spoon, Cloudcherry, Ketto, Octothrope, BetaOut, Edgefx Technologies, Ragtagger Lifestyle, SparesHub, SP Robotic Works and more
The average ticket size of the investment: USD 34k – 408k for startups and home businesses.
5. Mumbai Angels
This venture is set-up more like a non-profit organisation for catering to the investment requirements of angels and entrepreneurs alike.
Generally, as a rule of thumb, startups willing to raise funds must have a strong team, defensible technology and well-charted out product and market plans. Members of Mumbai Angels are industry veterans with strong industry experience. They are high ranking individuals themselves who are either currently serving as executives or were previously so.
Sectors: IT, Business Process Outsourcing, Retail, Biotech and Pharmaceutical, Internet, Telecommunication, Media and Entertainment, Consumer
Key startups funded: Inmobi, Myntra, Book events, Azuro.in, Fitpass, Betaout and more
The average ticket size of the investment: USD 70k – Rs 272k
6. Lead Angels Network
This network is India’s first privately owned angel network which was founded by an IIT Bombay team in 2014.
The intention behind its formation was to improve early-stage outcomes. Notably, Lead Angels Network is supported by a team of well-qualified and experienced executives who are passionate regarding their work involving entrepreneurs and investors.
The average ticket size of the investment: The typical raise can come around USD 136k-210k. However, in association with other angel networks, this number could go up to USD 300k.
7. Calcutta Angels
The main goal of Calcutta Angels is to provide capital and guidance to startups, while offering them angel investors financial gain through networking, mentoring and education. Their criteria for investing in startups include team quality, innovative abilities, market size, financial visibility and competitiveness.
Top startups funded: Ketto, Klip.in, Logic Roots, Catapoolt and more
The average ticket size of the investment: USD 100,000-300,000 in early-stage businesses
8. Hyderabad Angels
This startup was founded in 2012 and comprises of members who are already top business leaders, venture capitalists and entrepreneurs.
Based in Hyderabad, they manage to source and invest in startups and businesses around the world. They have even managed to cross borders to reach countries like the UK, USA, Singapore, UAE and more. Till date, they have managed to fund 25 companies and invested a sum close to 40 crores.
Sectors: Sector agnostic
Key startups funded: HealthSutra, Explara, RealBox, BetaOut, Thrillophilia.com, Edutor, evibe.in and more
The average ticket size of the investment: Upto USD 1 Million as part of Pre-Series Investment Plan.
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9. Chandigarh Angels Network
This is a community built of successful entrepreneurs who later switched to being angel investors. They also rank high among top angel networks in India.
They have a knack for investing in promising businesses, which in turn, help them scale heights with their expertise. Their network comprises of 37 angel investors who have mentored over 250 startups and have funded 8 startups so far.
Key startups funded: Biryani by Kilo, Eckovation, The Gourment Jar, JumboBasket and more
The average ticket size of the investment: Angels invest in a range of USD 10k to 1million, depending on the stage of the startup.
The world is moving at a fast pace, and there is so much competition in the market even in the startup ecosystem. For startups, their growth is contingent on landing investment funding from angel investment networks. However, it is absolutely vital to find the right investor who takes your startup as their own baby, and is as passionate and committed to its future growth as you are.
In case you are an entrepreneur who is looking to raise funds for his startup, but your network is not already populated with top business investors, you can consider reaching out to these angel investment networks and try and build a connection. You can take help from this article and reach out to people, and you never know, you might just hit the bulls’ eye. Good Luck!
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