Angel Capital: How to Raise Early-Stage Private Equity Financing (Wiley Finance) (Hardcover)

~ Gerald A. Benjamin (Author), Joel B. Margulis (Author) "The grand impresario Florenz Ziegfeld had a backeran angel, in Broadway parlancenamed Jim Donahue who at the time of the 1929 stock market crash was..." (more)
Key Phrases: cradle equity, angel capital market, alternative capital resources, International Capital Resources, United States, New York (more...)

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Product Description

Get the business insight that has raised millions in capital funding for over 50,000 entrepreneurs.

If you're an entrepreneur or own a small, fast-growing businesses, Angel Capital provides a complete toolkit for raising capital in today's challenging economic landscape. The authors, who manage the largest angel network in the U.S., offer real-world advice on how to find investors and take control of the private placement process. Using revolutionary typology and unmatched proprietary research, they explain all stages of raising capital, from valuation to negotiation to due diligence. In addition, you'll find a comprehensive directory of alternative capital resources, based on research of over 2,000 organizations, and a legal appendix that serves as a short course in exempt offerings and provides the skills needed to have success with any early-stage business venture or investment. Order your copy today.

From the Inside Flap

Whether you're interested in raising capital for a start-up or looking for expansion capital to grow a small, established company, access to capital on the right terms is critical to your success. As a primary source of capital for early-stage and growing companies, private investors or "business angels" are a vital resource for today's entrepreneur. However, most small business professionals have limited knowledge about the angel equity market, business angels, the private equity investment process, and how deals get done. That's why you need Angel Capital: How to Raise Early-Stage Private Equity Financing.

Angel Capital offers the extensive expertise of Gerald Benjamin—creator of the largest network of private investors in the country and Senior Managing Partner of International Capital Resources, a firm recognized as the leader in accessing and cultivating relationships with angel investors—and Joel Margulis.

Filled with in-depth insight and real-world advice, this comprehensive guide provides an inside look at the emergence and creation of a capital market that could potentially finance your dreams, and describes the manner in which successful entrepreneurs must go about the business of raising capital. From examining every stage of raising capital to uncovering a segment of high-net-worth investors specifically interested in financing earlier-stage, developmental-stage, and expansion-stage ventures, Angel Capital covers everything you need to know to tap into the capital your venture needs.

Throughout the course of this book, you'll receive an executive education that will help you understand:

• How entrepreneurs are creatively addressing the challenges of practicing capitalism in the face of a significant capital gap
• Who "Angel Investors" are, where they can be found, and what they look for—their criteria and their expectations
• The types of resources and tools—both past and present—that help entrepreneurs deal with the formidable task of raising capital
• The angel investment process—from due diligence and valuation negotiations to potential exit strategies

Angel Capital also includes information-packed appendices filled with a how-to workbook on drafting and presenting an investor-oriented business plan; a legal primer on securities law issues for the layperson; and a suggested reading list for those who would like to continue their education in entrepreneurial finance.

Crafted to benefit entrepreneurs in planning, managing, organizing, executing, and monitoring the effectiveness of their capital raising endeavors, Angel Capital will provide you with the skills needed to penetrate one of America's largest capital markets.

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Product Details

• Hardcover: 373 pages
• Publisher: Wiley; 1 edition (February 1, 2005)
• Language: English
• ISBN-10: 0471690635
• ISBN-13: 978-0471690634
• Product Dimensions: 9.1 x 6.4 x 1.4 inches
• Shipping Weight: 1.3 pounds (View shipping rates and policies)
• Average Customer Review: 4.0 out of 5 stars  See all reviews (1 customer review)
• Amazon.com Sales Rank: #696,121 in Books (See Bestsellers in Books)

Customer Reviews

Most Helpful Customer Reviews

5 of 5 people found the following review helpful:

4.0 out of 5 stars a lot of practical advice, February 12, 2008

By	W Boudville (Terra, Sol 3) - See all my reviews (TOP 10 REVIEWER)    (REAL NAME)

For the reader with a bright idea of a new company, but who lacks capital, this book is recommended. It has much practical advice for soliciting so-called angel capital. This is seed money, typically from $50 000 to a few hundred thousand dollars, that can be used to carefully finance a modest initial operation.

The text describes several organisations scattered throughout the US, that are venture forums. This is the preferred term for a group of well heeled individuals, and some venture capitalists, that regularly meet with prospective company founders. You, the founder, give a short presentation and they bombard you with questions about the viability of your idea.

Along these lines, the book helps you prepare your presentation. By giving questions that you should have some answers to, beforehand. These act as a preliminary assessment. Other aspects covered here include the crucial issue of valuation. How much is your idea worth, if it is to be instantiated in a company?

Despite the book's title, the text also explains other possible sources of funding, like asset-based loans or incubators. The only problem with the description of the latter is the absence of a warning that you could be selling yourself short. Some incubators ask for more than 20% of equity, in return for providing little more than office space for a couple of years. If your idea truly is good, an incubator could be a very bad deal.