An angel investor is a high net worth individual who provides capital to startup companies in exchange for ownership equity or convertible debt. Angel investors typically invest their own personal funds and may also provide mentorship and strategic guidance to the companies they invest in. They are often among the first investors in a startup and can play a critical role in helping young companies get off the ground.
In India, angel investing is a relatively new concept, but it has been gaining popularity in recent years as more and more high net worth individuals and successful entrepreneurs have begun to invest in startups. Angel investors in India typically invest in early-stage companies in sectors such as technology, healthcare, and consumer goods.
In recent years, the Indian government has also taken steps to encourage angel investing, such as providing tax incentives for angel investors and establishing angel networks and funds to connect investors with startups.
There are many Angel investor groups and networks in India like Indian Angel Network, Angel Prime, ah! Ventures, Indian Angel Fund, and many more, who are actively investing in the early-stage startups.
It's important to note that angel investing carries a high level of risk, as the majority of startups fail. However, for those that succeed, the potential returns can be significant.