When I first read the title of the course’s reading material, I thought it referenced how to obtain angel investors. As I began to read, it became clear that I had the opposite understanding of the actual material. The good news is that the authors identify the value in understanding both sides of being an entrepreneur and an angel investor. The chapter on Sourcing provided a great example of this perspective by defining how to evaluate investment opportunities and what entrepreneurs can expect when being reviewed by investors.
Sourcing is an interesting challenge in the entrepreneurial world. In the book Winning Angels: The 7 Fundamentals of Early Stage Investing by David Amis and Howard Stevenson, the similarities between being an entrepreneur and an investor are quite similar – Networking, getting yourself recognized through social media and publications, and building a focused plan.
One area that I find most interesting is Visibility. While as an entrepreneur you are driving visibility to help promote you and your business. The idea is to create an image that helps others believe in your capabilities while also the value of your venture. As a potential investor, it is similar, but with a few new considerations. An investor may not want the same visibility an entrepreneur might. As an investor, it is important to establish your credibility, but it does not necessarily require public acknowledgement. Investors may be known well within investment circles, but hidden from public view for various reasons.
During the entrepreneurship courses it has been a key activity to network. While building a business there may be flexibility for networking targets since one never knows who might be helpful in the future. As an investor, the networking may be more restrictive and focused to ensure valuable engagements. Sure, investment opportunities can come from anywhere, the possibility of non-value add situations could be greater.
Looking forward to the next chapters and this alternate perspective.