How to Become a Risk Capitalist and Angel Investor?

How to Become a Risk Capitalist and Angel Investor?
How to Become a Risk Capitalist and Angel Investor?

Currently, within the world of start-ups or ventures of young entrepreneurs, the terms of risk capitalist, venture capitalist and angel investor are being managed, but what do they mean? How do they work? And above all, how important are they for these new projects?

Maybe you are attracted and probably think that with some experience in finance and/or technology you will be able to perform as such because then we give you the description of these two forms of work.

>>> Top 65+ Venture Capital Companies In India For Early, Seed And Growth Stages

What profile do you need to be a venture capitalist?

The short answer: it depends. Many venture capitalists are successful entrepreneurs or who made their way in that world. Recent studies conducted suggest that the average profile is:

  • Age: 46 years.
  • Gender: Male and White. (Unfortunately, they say, it’s not a very diverse industry yet).
  • Qualification: Own an MBA or a Ph.D.
  • Experience: They have previously done consulting work in finance, technology, investment banking, media or ventures.

Also refer: How to create and register a company for startup in India

Principles for the Aspiring Venture Capitalist

  1. Determine if this is Really What You Want to Do: Analyze the pros and cons, evaluate your budget and think that when you invest at the beginning you can live adjusted for a long period until you consolidate. If after this you are willing to continue, go ahead.
  2. Make Sure you have “The Real World Experience.”: It has three routes available:
  • Start a business or get a role in an incipient start-up.
  • Work for a large company in a relevant.
  • Join a bank or a consulting company.
  1. Go to a Business School: Although there are exceptions to the rule because there are good venture capitalists that have not studied, have done with practice, always study helps to become more reliable and trained. In the institutions, contacts are also obtained and that network in the future is the one that is valid for closing businesses.
  2. Build your Reputation: Start a blog or better yet create your website, produce content on the subject that you control and maintain a strong and consistent digital presence in social media. LinkedIn is the social network preferred by the venture capitalist.
  3. Have a Passion for Great Products: If you are going to invest, it is better to know about technology and the field of action in which you are going to play. Use the products in which you intend to invest. Get involved, know, analyze and you will make a better decision.
  4. Use your network of contacts in a useful way. Take advantage of every moment of meeting with an entrepreneur. Always take knowledge of the context of the industry and the benefit that could arise for both parties. Your network of contacts will only be as good as you demonstrate your ability to connect with people.

When investing stay in your decision. Being a venture capitalist is a long-term game and, like in any other profession, it takes several years to master the field.

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