Donte Stallworth Jersey

Donte Stallworth Jersey -

Accredited Angel Investors as a Viable Alternative to Business Financing

By: Margarita Damianova

Many entrepreneurs today face the dilemma of finding feasible sources of capital to fund their start-up ventures. In today's economy more and more people lose their jobs and look at entrepreneurship as a possible avenue to provide for their families. And, why not? We all learn at a young age that entrepreneurship is the key to true wealth.? We are taught that we can all come up with a big idea, become a business owner, build a successful business and live the American Dream. And we see this happening all around us where some ordinary people build empires at a young age: the folks at Google, You Tube, My Space, Mark Cuban etc. America certainly has many examples of young people becoming millionaires and they are not necessarily a movie star or a lucky musician. Most achieve their wealth through hard work in business and embracing the concept of entrepreneurship.

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At the same time, we all know that to make it big in business and to build true wealth, we need to make significant cash investment in our business. So how do we come up with the cash? Do we save, use our credit cards, apply for a business loan, borrow from friends and family? Well, all of these are actually viable alternatives to Donte Stallworth Jersey get started. Yet, once we get started we learn that the business expenses could be overwhelming and at least double what we expected: we end up always having to purchase new equipment, our rent goes up, we end up needing more employees than expected, accidents happen, advertising money never seems to be enough and when it comes to expanding our business, remodel, open a new location and making it big, we learn that we are going to need an even larger infusion of capital. Some are lucky to get a business loan or a second mortgage on their home. Nowadays however, we are in a credit crunch and banks just don't want to hear how great our business is. So what do we do? We start looking for angel investors that can help our business take off. In fact, according to the Small Business Administration (SBA) most start-up businesses (over 90%) are funded by angel investors.

So how do we find angel investors? Do we run an ad in the New York Times telling the world about our great investment opportunity available to angel investors who can act now? This could actually be highly effective in today's environment where public stocks just keep crumbling with no recovery in sight. Private opportunities start getting more and more attention from angel investors. Unfortunately, the regulations set by the Securities and Exchange Commission (SEC) prohibit private businesses from advertising to the public using public media such as newspaper, TV, radio and even most internet sites. Private companies are actually required to qualify for aPrivate Offering Exemption in order to be able to legally approach angel investors. Finally, private companies are not allowed to Donte Stallworth Jersey accept the money of every single person interested in making an investment or if they did, they would lose their private offering exemption and respectively their ability to further seek capital from angel investors.