Monday, April 03, 2006

Mass High Tech: The Journal of New England Technology: Syndicates mean larger financings, better terms - 2006-04-03

"Historically, angel investors were individuals who had made a lot of money from starting or selling a business and were looking to work with a budding entrepreneur to do it again. The angel investor contributed money and contacts, but often also worked on the business, arm-in-arm with management.
Starting in the 1990s, the angel investment climate underwent two parallel transitions. First, as their numbers grew, angels became less committed participants in a business and more dabblers who would throw $50,000-$100,000 into businesses they liked. Second, angel investors began to form groups in order to aggregate capital, take advantage of members' differing and complementary ares of expertise, and have a little fun at monthly meetings. "

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