There is a boom in venture capital investments in Russia. Interest of business angels in startups.
Recently, in Russia, venture investments, that is, investments in a developing, start-up business (various start-ups) are becoming massive, there is an overabundance of money in the market and large investment funds are crowding out associations of business angels. Private venture investors are called business angels, but now there is a tendency for them to unite into syndicates that organize collective investments according to different rules and principles.
Such associations are dictated by the market, which has entered many business angels with relatively small investments. Although the majority of business angels are rich and literate people themselves - top managers who work or have left the department, who seek to profitably play the accumulated capital. On their own, they would not be able to compete with large investment funds, but together they represent a significant force in the market. More than half of them are newcomers who have invested in technology startups for no more than the last two years. The amount of the average investment check (deposit) is decreasing, but the role of business angels is increasing.
How to explain such a surge of interest among frequent investors in startups? Traditional investments have lost their returns, everything digital is all the rage, and syndicated deals seem more reliable. However, to make a profit, investments must be quite significant, at least $ 1 million.
Membership in the business angel club gives you an advantage in the form of access to transactions with large funds, to investments in promising startups. And you don’t even need to do anything, the deal is found by the organizer of the club and the syndicate. But, of course, you will have to pay for membership, in addition, the organizer will then take a fee if the project is successful.
It is usually not possible to get into club members from the street, you will have to pass a selection, participants must have impressive capital, preferably a specialized education, and a reputation, it is better if the capital is received as a reward from a large company. You can bring your own project, but there are requirements for it, understandable, start-ups focused on a circle of reputable clients are in special demand.
It is too early to judge the profitability, because most investments are not older than two years. But you need to expect that only 1-2 startups out of 15 can "shoot", due to this, the collateral losses incurred will be compensated.
There is a lot of money on the market, it is enough for an IT entrepreneur to find a fashionable, popular direction and investors will find themselves. Startups in the field of remote work and interaction, health and development, education, especially abroad, and artificial intelligence are now in demand.
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