Why It Is Difficult To Seek Angel Investors For Startup

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Today’s world is such that everyone wants to go with the flow in the market. Talking about entrepreneurs from all around the world, all of them are breaking their sweat to secure the best investments for their startups. One of the ways to get the best investments is to seek angel investors. Angel investors are the individuals that can make your business go big in no time. When it comes to getting money from these personalities, it seems difficult for entrepreneurs to get any assistance from them. Besides the cut-throat competition existing in the market, there are many reasons why it is difficult to seek angel investors for a startup. In this article, we will discuss why is it so.

Reasons Why It is Difficult To Seek Angel Investors

1. The Prevalent Competition

Because there are millions of startups competing with you every day, it is sure that the competition is at its high. Angel investors may help you if you are lucky. However, those lucky entrepreneurs are quite a few in numbers. According to the reports, only one out of thousands of startups get funded by angel investors. New entrepreneurs are updating themselves every time, and if you are not updated, you will not get the angel investments. 

2. Lack of Interest

It has been seen that angel investors are known to show interest in tech startups. Even if you have an e-commerce startup, things can go well with you. However, in case you are not from these industries, seeking these filthy-rich individuals may seem difficult. There are still a few angel investors that are interested in your startup. You have to compete for a few ones.

3. The Complex Process

The process of getting angel investments can be quite complex because there are lots of time-consuming processes associated with them. Some entrepreneurs may find it hard to continue with the process and go for other sources of funding. It may take many days when dealing with angel investors. Better than that, entrepreneurs show interest in approaching other funding sources.

4. You Are Not Unique

If you do not have something out of the box, better go and find other funding sources. Angel investors love to fund their money on startups that have an edge over others. Also, most of the entrepreneurs that approach angel investors have almost the same business idea. Try to bring some uniqueness if you want to secure angel investments for your startup.

5. You Don’t Give Enough Stake

A major stake is what keeps angel investors at the bay. Angel investors can sometimes become greedy, and they may ask for more stake in your company. It is always a smart choice to stay away from such angel investors. Someone who makes the mistake of giving a major stake in a startup can see bad times in the future.

6. Not Enough Marketing

Marketing, marketing, and marketing. It is not easy for you to survive in the business world if you do not know how to market your business. The more you are seen, the more you get the customers. The same rule also applies to angel investors. Rigorous marketing is essential if you want to get angel investors for your startup

7. You Are Not Professional

Let’s face it! Even though the world has changed and people are educated, there is many a number of entrepreneurs who still don’t have professionalism. Lacking professionalism can get you nowhere, be it with angel investors or anyone else. To make the most out of angel investors, bring more and more professionalism in you. 

8. New Trends

New trends drive the market and they tend to replace the old ones. The market always gets affected by the fresh wave of technology or something else. New trends are emerging and you should never ignore them, especially if you are going outside to deal with angel investors. Angel investors love to go with the new trends most of the time. 

9. You Are Not Lucky

By this, I mean you may not find angel investors at the time when you need them. This happens most of the time because the business world is full of ups, downs, and confusion. Those who are lucky get angel investments at their first approach and the unlucky ones don’t get any one of the angel investors.


We have now seen why it is difficult to seek angel investors for startups. We have also seen that angel investors can have their own issues. Sometimes, they are not easy to find, and sometimes, you are not ready for them. One of the best things that new entrepreneurs can do is to not directly approach the investors. First, built connections with them and show your business plan. You will surely get lots of connections if you post about your business on social media platforms. This way, you can secure more chances to get angel investors for your startup. 



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