Entrepreneurs Beware! Here are 12 Mistakes Committed by Angel Investors


Knowing when to be flexible on price is even trickier nowadays, because valuations tend to be 2-3x what they were two years ago.

Mistake #6: Passing on startups that later gain traction - Every angel investor and Venture Capitalist has their list of great companies they passed on. Nobody’s perfect, and it’s the nature of startups to be difficult to predict. Still, investing radar needs a lot of improvement. Angels should learn to avoid the temptation to dismiss startups whose ideas look really bad because the best ideas look initially like bad ideas.

Mistake #7: Founder annoyances - A common characteristic of many of these mistakes is that they also annoy the founders. Investors should be more sensitive about not placing even a minor burden on founders unless it’s absolutely necessary.

Mistake #8: Over-optimism - Anyone who is not optimistic about startups would not get into angel investing in the first place.