Female business angels invest 12k per round on average (France)
In an interview, Agnès Fourcade, president of the French female business angels (Femmes Business Angels), explains why the business angels in her network invest only about 12 000 € per round on average.
Among the reasons given for this low number is the fact that most female business angels are still young, she says: “Most women in our network are under 50 – they just don’t have the means that their (older) male counterparts have. They also have a lower risk appetite, and invest in less ambitious projects,” she says in Les Echos.
Asked why only 7 % of business angels in France ar female, she said she thinks that women are less interested in this type of investment. “Business angels are usually men who had a nice career. A lot of them are retired and want to reinvest the money they made from selling their company. A lot less women are in this position.”
Liam Boogar from Rude Baguette published an interesting article only last week explaining why startups should be careful which business angels they work with. One of the reasons he gave was specifically this small ticket size – that and low risk appetite of some types of business angels
What Angels do you know of in the international startup scene who invest tickets of €10-20,000? The only reason you would do this is for tax rightoffs, in which case you’re not concerned,or even familiar with the startup’s vision. For French startups to compete on an international level, they can’t be running around begging angels for 10-20,000 – they need to be raising €500,000 -€800,000, from people who will use their network & experiences to help them grow. (via RudeBaguette)
He goes on to explain that the “real” business angels have their own little network:
The real Angels have their own network: the face remains that the Angels that are really investing in startups – Jacques-Antoine Granjon, Marc Simoncini, Jeremie Berrebi, Xavier Niel, etc. – are doing it through their own network, and they’re sharing deal flow. Word on the grapevine is that if you want JAG to invest, he’ll tell you ‘If you get Marc to invest, I’m in.’
The number of Angels who are qualified to be startup angels is small enough that there’s no need for a network, at least not for internet startups.
Photo: Flickr, familymwr
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