Global slow-down great for Angel Investment

There’s been a lot of doom and gloom in the financial markets and the news this year.  Its been one hell of a rocky ride in the equity markets – world wide.  Companies that shouldn’t have gone bust have gone bust because they haven’t been able to access capital.  Oil shot up then fell back down.  Food prices have shot up.  The collapse of finance companies in New Zealand has sucked the life savings out of middle New Zealand.  All rather depressing really and a situation where you would expect early stage investment to have all but dried up.

BUT, completely counter-intuitively it hasn’t, in fact, there’s lots of money swashing around looking for home.  Why’s this?  A lot of High Net Worths or Angels that i talk to have retreated to cash in their investment portfolios.  This means they have cashed up their equity investments and are looking for new places to invest it.  The great thing about start-up businesses are:

  • you don’t have a schizophrenic market telling you that the value has gone down every day; and
  • you get to work with some amazing and passionate people with great ideas.

So, for all those budding entrepreneurs out there, now’s a GREAT TIME to bring your ideas forward.

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