Angel Networks in Asia: How They Work

By Mike Lebus


A long time ago, traders got their financing from affluent merchants. This funding was usually given for the purpose of establishing new trade routes and expanding their business across Asia and the Middle East. However in todays markets, a modern version has evolved into what we call Angel investment. Generous investments by private businesses can represent a huge boost of capital for many of these markets in Asia, via a modern take on the traditional method of doing business around the world, particularly in Asia.

Evolving this old fashioned business tactic, most of the small businesses in Asia were originally formed with the help of start up finances and loans via friends, and relatives. Till recently, formal angel networks were mainly seen in Europe and America, but not nearly as common in Asia. This is mainly because business networking is less formal in this continent, creating a bigger challenge for outside investors to raise capital.

Following this traditional business tactic, most of the small businesses in Asia were formed with the help of funding from family, friends, and relatives. Till recently, formal angel networks were only seen in Europe and America, but not nearly as common in Asia. This is mainly because business networking is less formal in this continent, creating a bigger challenge for outside investors to raise capital.

There are now several reputable groups that provide investment capital to help small and start-up businesses grow and succeed. However, in some regions where businesses networking is less established and regulations still difficult to overcome particularly for foreigners, many entrepreneurs face funding problems when starting a business. When seeking funding, entrepreneurs abroad usually travel to places like Singapore and Hong Kong.

When you seek funding from angel investors, make sure you are fully-prepared with an investor presentation that gives them a clear idea about your product or service, your business and financial plans, the strength of your management team, and a proper business plan.

It is very important to contact angel investors most suited for your business while understanding that raising capital for your business takes time. On your part, you should also continue looking for the best investors for your business rather than settle for the first one to agree.




About the Author:



No comments:

Post a Comment