SCOPE OF ANGEL INVESTING DURING COVID -19?

WHAT IS ANGEL INVESTING OR ANGEL INVESTOR?

An Angel investor is a wealthy person who has the competence to invest for a company to get started. In the course of this process, he is given the share of the company or some percentage annually or in small installments. An angel investor invests in risky and unproven business ventures, so they are called ” Angel investors”.

SCOPE OF ANGEL INVESTING:

Angel investing is not everyone’s cup of tea. A wealthy person invests in a startup where there is an exceptional probability of success, still, he/she invests. At that pace, the person seems to be a god for the budding entrepreneurs. Basically, 70%-75% of start-ups fail. So it’s absolutely perilous for the investors. Nowadays there are ample companies ensconced to fund aspiring startups.

There is no complete money-back guarantee. The scope of profit depends on the prediction level of the investors upon the idea and strategy of business aspirants. An investor should be aware of the current business trend and the scope of that startup.

IMPACT OF COVID – 19 ON STARTUPS AND ANGEL INVESTING:

A well-known eternal truth is that corona has been creating a human genocide globally. In these times there are two sides to be compared on par with business statistics. Many startups haven’t even taken a physical form. Well-established companies are even drowning in either loss or debts. Now the question comes” Is it profitable to invest in startups in this covid-19 situation? “WELL, the answer is “yes” and as well as no. The answer lies in investors’  hands Par-se to the current situation it is not that profitable to invest in real- estate, technology, transport, clothing industry, educational institutes. But it’s highly profitable to invest in medically oriented startups, exports, and imports of medical stuff, food grains, food-related startups. Fuel-related startups etc.

CONCLUSION:

Angel investors prolifically look for returns and try to invest in life-changing, innovations, products, services, etc. But due to the current covid situation, this is really challenging for investors as well as budding entrepreneurs in order to invest in early business funding and business development respectively. Their decision on predictions made due to their past experiences helps them to choose where and where to invest.