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In: Finance

PLEASE ANSWER WITH 200 WORDS OR MORE FOR A THUMBS UP RATING! THANK YOU! In 200...

PLEASE ANSWER WITH 200 WORDS OR MORE FOR A THUMBS UP RATING! THANK YOU!

In 200 words or more, please explain why angel investments are important.

*NOTICE* I do NOT need a definition of what angel investors are, I just need to know why angel investing is important

Solutions

Expert Solution

Angel investments are important as they are one of the critical source of finance for the newly established business. Importance of Angel investments are as follows-

A.Angel investments are important because they will be providing a large amount of capital which should be initial capital to a large number of startups.

B. These Angel investments are generally done by angel investors who are believing in in risk taking and risk management and they are always investing into startups who are highly risk prone to liquidation.

C.Angel investors are also offering with the specialised and expertised services because they are exposed to a large number of Business and they will be helpful into the management of the company by providing them expert advice

D. Angel investors are having a a wider network so they are helpful in generating large number of finances through their effective networking channel.

E. These investors for helping an economy in order to grow because these are providing a chance for the young and budding entrepreneurs to establish their business.


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