In general, CTAN Members share the following traits:
- All have been successful in their professional careers, no matter the path or origin
- An interest in investing in high potential, innovative startup companies
- An interest in mentoring those startups to increase their likelihood of success
CTAN’s Membership is extremely diverse. We can classify our Angel Investors in the following groups:
- Former founders of startups who have had successful exits, sometimes multiple times over
- Former or current C-suite executives from Fortune 100 Companies
- Managing Partners or Principals at Venture Capital Firms
- Founders of well-known incubators and accelerators around Austin
- Misc: Investment professionals, real-estate professionals, physicians, Academic leaders, etc.
Not limited to the technology industry, our members invest in exciting companies in a wide range of industries including biotech, consumer products, Internet, IT, life sciences, media, software, clean tech, and many others.
Link: WSJ-“What is an Angel Investor?”
Most angel investors are successful business leaders or professionals who make significant investments in other companies, usually early-stage startups. They typically invest in businesses within their particular area of experience and expertise.
The most important role of an angel investor is to infuse your startup with cash. But unlike other types of financing — such as bank loans — angel investors can do more than keep your company´s coffers full. Angels often take a hands-on advisory or consulting role in the company, especially when it’s just starting out.
Angels can be invaluable resources who help you to connect with future rounds of financing, to build your executive team, to choose advisory board members, and to meet potential business partners.
Keep in mind, however, that an angel investor is just that — an investor. They expect to turn a profit by owning a part of your company. Therefore, not only should you have a plan for providing them with a reasonable return on their money, but you also need to agree on the details of the plan. Typically, a cash return within five to seven years is considered reasonable and is often achieved by selling the company or taking it public.